CompUSA Inc. (Dallas) has been sold to Gordon Brothers Group LLC (Boston), a restructuring firm, and will close its 103-store operations after the holidays. Financial terms weren't disclosed.
CompUSA was founded in 1984 as software seller Soft Warehouse, then branched out into computers. It took on the CompUSA name and went public in 1991. It later bought the rival Computer City chain.
The retailer was acquired in 1999 by Grupo Carso S.A. de C.V. (Mexico City), owned by Mexican financier Carlos Slim, and taken private. It has been struggling for a decade and closed more than half its stores this spring after getting cash infusion of $440 million to restructure.
Discussions are under way to sell certain stores in key markets. Stores that can't be sold will be closed. Gordon Brothers will also try to sell the company's technical services business, CompUSA TechPro, and online business, CompUSA.com. It would be up to the buyers whether to continue the CompUSA name.
During the wind-down, Gordon Bros. principals Bill Weinstein and Stephen Gray will run the company. Roman Ross, the chain's current ceo, will serve in an advisory role.
Gordon Brothers affiliate DJM Realty will review leases of CompUSA's store locations.
“An orderly and expedited wind-down and asset sale process is the best option for CompUSA and its creditors at this juncture,” said Weinstein. “We are focused on assuring that CompUSA's creditors, landlords and other key constituents are treated properly during this process. We are working hard to achieve the maximum recovery possible for the company's constituents while also minimizing unnecessary expenses. We will actively communicate with the various parties and their advisors starting today, and in the days and weeks ahead.”