- The Washington Times - Tuesday, April 14, 2009

RICHMOND, VA. (AP) - Circuit City will auction its brand, trademarks and e-commerce business next month.

A federal bankruptcy judge on Tuesday set a May 11 auction and a sale hearing for May 13.

Richmond-based Circuit City has entered a so-called stalking horse agreement with Systemax for $6.5 million plus two and one-half years of payments of a portion of the revenue from the Circuit City Web site.

A stalking horse bid is an initial offer for a bankrupt company’s assets from an interested buyer chosen by the company. The auction will allow other companies to make bids.

New York-based Systemax sells consumer electronics online, by direct mail and in retail stores under the TigerDirect and CompUSA brands. It purchased Dallas-based CompUSA’s intellectual property in January 2008.

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