The RadioShack trademark and other intellectual property of the electronics retailing pioneer is going up for auction today as efforts to pay creditors continue, the Wall Street Journal reported on Saturday. Carrying more than $1 billion in debt, RadioShack filed for Chapter 11 bankruptcy in February and scrambled to shut down or sell off stores. With most of its 4,000 stores sold to new operators or vacant, RadioShack is selling its warehouses and other assets. Paying close attention to the auction is Standard General LP, the hedge fund that saved more than 1,700 RadioShack stores from closing and launched a revival in an alliance with Sprint Corp. Standard General said it would make an offer on the name and some of the other assets, but signaled it is ready to move on without the iconic brand if the price gets too high. Salus Capital Partners, which sits behind Standard General in the rankings of RadioShack lenders, has $150 million tied up in the bankruptcy and a prime claim on the name and other intellectual property. Auction rules gave Salus until Friday to say whether it is going to “credit-bid” on the intellectual property, meaning it would cancel some of the debt RadioShack owes. Read more. (Subscription required.)
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