GNC Sale Update
Pittsburgh--Last month, the Miami Herald reported that GNC's parent company may put the nutrition supplement retailer up for sale (see "GNC in Trouble, May Go on Sale"). The New York Post is now saying that Royal Numico NV, GNC's parent and a Dutch baby food and nutrition company, has decided to unload the struggling chain it bought just four years ago. The company has been considering selling GNC for the past few months and recently instructed investment bank Goldman Sachs to run a formal auction for the sale.
The company is hoping to fetch as much as $900 million to $1 billion for the sale, though some say GNC will likely sell for less. Potential buyers range from past owner Thomas H. Lee Partners to an investment team led by JW Childs and former GNC management. -New York Post