Waterstones share offer would be fitting tribute to a creative Britain, says ALEX BRUMMER
Among the most magical moments of this Hanukkah and Christmas season of gift giving is opening handsomely wrapped books from friends.
As much as the socks, scarves and English sparkling wine are appreciated, none of these thrill as much as a reading surprise.
Those unwrapped so far include: The White Lady by Helen Fry, which looks at spying behind enemy lines in two world wars; and King Of Kings, Scott Anderson's take on the Iranian Revolution sent by a City pal.
Not long ago, the printed word was considered a bust, killed by Amazon's Kindle and audio books. High streets and retail parks in Britain and North America were funeral homes for booksellers.
Only the best independent stores, with intense local loyalty, survived. Chains such as Books etc, B. Dalton and Borders vanished.
In Britain, Waterstones – after changing hands several times – remained. In the US, Barnes & Noble just clung on.
Reading between the lines: James Daunt took charge of Waterstones and sprinkled the stardust
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The carnage created an opportunity. James Daunt, founder of the eponymous store on fashionable Marylebone High Street in London's West End, took charge of Waterstones and sprinkled the stardust.
His ambition and skill caught the attention of hard-nosed financiers Elliott Advisors.
We think of activists as having the staying power of a gnat, but Paul Singer of Elliott has also shown patience, most memorably perhaps by seeing potential value in Argentine bonds.
Singer spotted the potential of bookstores and what Elliott insiders describe as 'peak Amazon'.
Book buyers rediscovered the browsing-and-buying experience, with add-ons of greeting cards, elegant notebooks and literary knick-knacks.
In 2019, with Daunt at the helm, Elliott saved Barnes & Noble from the knacker's yard, buying it for £525million.
Waterstones and Barnes & Noble have continued to snap up struggling bookstores, snaffling the 174-year-old Books Inc chain in the US.
Last year, it bought Tattered Cover, the Denver outlet loved by the Boss, Bruce Springsteen.
Having created a quality books behemoth with sales of $3billion, the original intention (as reported in this space last year) was an initial public offering in 2025.
Erratic market conditions and the big focus on AI and tech markets means that Elliott, Daunt and advisors have been biding their time.
The idea of a London float is alive and well, and would be a feather in the cap of literary Britain.
A Waterstones-Barnes & Noble share offer would be fitting tribute to a creative Britain that is marking Jane Austen's 250th birthday.
Good cheer
Dreary retail sales in November come as no surprise.
Uncertainty cast by Rachel Reeves' late Budget, and the Chancellor's over-larding of gloom, smothered optimism and damaged hopes of a Black Friday uplift, which then spilled over into December.
If the past is a guide to the future, I predict the High Street's champions, such as Next, M&S and Currys, will report a record holiday season. That should lift dampened New Year spirits.
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