Home town paper the Sacramento Bee is reporting that the 'lead bidder' for the Tower chain and Website, which retail books, DVDs, and toys in addition to its core CD business, is liquidator Great American Group. The initial bid is $90 million, likely below what would be necessary to cover Tower's debts.
As lead bidder, Great American's offer sets a floor for the auction of the company on October 5th. Trans World was previously thought to be the most likely acquirer (see 'Bankrupt Tower to Trans World?'). Great American will receive a $700,000 payment if its bid is unsuccessful.
