Blockbuster agrees to sell Rhino videogames to GameStop

Blockbuster Inc. a global provider of in-home movie and game entertainment, has recently announced that it has a reached a definitive agreement for the sale of its Rhino Video Games chain to GameStop Corp. No word yet on the price agreed upon, but the sale is expected to close by the end of January.

Just so you know (but you all probably do already), Rhino Video Games is a regional retail chain with 72 stores in Southeastern US, that specialized in the buying, selling, and trading of Video games.

And this is what R. Richard Fontaine says about the agreement:

The integration of the Rhino group into the growing portfolio of GameStop stores will result in operating synergies while being accretive to earnings. The location of most Rhino stores do not overlap existing GameStop sites, and primarily serve secondary and tertiary markets where we have been very successful. Furthermore, the Rhino business model, and a very game oriented management team, will fit seamlessly into the GameStop culture.

Here’s what John Antioco, the Chairman and CEO of Blockbuster had to say about the deal:

Today’s announcement is in line with our goal to maintain focus on our Blockbuster-branded assets. We wish the Rhino concept ongoing success under its new ownership, and while games remain an integral part of our Blockbuster business, we will continue to focus on growing our overall share of the video rental market both through our stores and through BLOCKBUSTER Total Access™, which gives our online subscribers the option of returning their DVDs through the mail or exchanging them at a participating BLOCKBUSTER store for free in-store movie rentals.

Given that GameStop’s holiday sales alone is close to $1.7 billion, it is probably safe to assume that Rhino was acquired for a hefty amount

Blockbuster Inc. a global provider of in-home movie and game entertainment, has recently announced that it has a reached a definitive agreement for the sale of its Rhino Video Games chain to GameStop Corp. No word yet on the price agreed upon, but the sale is expected to close by the end of January.

Just so you know (but you all probably do already), Rhino Video Games is a regional retail chain with 72 stores in Southeastern US, that specialized in the buying, selling, and trading of Video games.

And this is what R. Richard Fontaine says about the agreement:

The integration of the Rhino group into the growing portfolio of GameStop stores will result in operating synergies while being accretive to earnings. The location of most Rhino stores do not overlap existing GameStop sites, and primarily serve secondary and tertiary markets where we have been very successful. Furthermore, the Rhino business model, and a very game oriented management team, will fit seamlessly into the GameStop culture.

Here’s what John Antioco, the Chairman and CEO of Blockbuster had to say about the deal:

Today’s announcement is in line with our goal to maintain focus on our Blockbuster-branded assets. We wish the Rhino concept ongoing success under its new ownership, and while games remain an integral part of our Blockbuster business, we will continue to focus on growing our overall share of the video rental market both through our stores and through BLOCKBUSTER Total Access™, which gives our online subscribers the option of returning their DVDs through the mail or exchanging them at a participating BLOCKBUSTER store for free in-store movie rentals.

Given that GameStop’s holiday sales alone is close to $1.7 billion, it is probably safe to assume that Rhino was acquired for a hefty amount