The ending leads to a new beginning, and RadioShack Corporation (OTCMKTS:RSHCQ)‘s case is no different from others. The company had to liquidate and shut its operations last week, but customers will see a newer and improved version of this chain in the second half of April.
Reports claim that it will be launched under the ownership of Standard General LP, a renowned hedge fund. Standard General is supposed to get handful support and assistance from Sprint Corp (NYSE:S) in order to launch RadioShack successfully.
As per the reports, the new stores will look the same way that RadioShack had hoped to build before it fell short of cash last year. Right from the outer look of this store chain to the top management executives, everything and everyone will be changed to provide a fresh outlook. The board of directors of the company hired Joe Magnacca as the Chief Executive Officer of the company two years ago, but things didn’t work out, and the company had to execute liquidation. Magnacca resigned from her post this week, which has again opened the way for a new leader who can take the company to the heights it belongs.
The biggest source of revenue for the chain was the sales of mobile phones. As per the reports, the revamped RadioShack will look forward to outsourcing the cell phone sale to Sprint Corp (NYSE:S). Other changes will include the reduced space for products like tablets, laptops, digital cameras, etc. If things are noticed closely, then RadioShack Corporation (OTCMKTS:RSHCQ) is looking forward to focusing more towards higher margin batteries, house-brand chargers and speakers.
The number of total items in the stores will be cut down from approximate 4000 to as low as 1000 once the new stores begin operations. It will also result in the fewer number of stores this time.