A plan to salvage RadioShack by co-branding most of its 1,740 surviving stores with cellular phone provider Sprint, was approved by the US bankruptcy court on Tuesday.
The remaining stores are less than half of a total of more than 4,000 that RadioShack had before going into bankruptcy in February. Founded in 1921, the chain was a go-to retailer for electronics before becoming increasingly irrelevant in the digital age.
Judge Brendan Shannon, in Delaware bankruptcy court, approved a sale of the stores to the Standard General hedge fund, which plans to keep most of them open under a deal in which Sprint will occupy one-third of each space.
Under the deal, RadioShack stores will be co-branded. They will keep selling the RadioShack merchandise, but will only carry Sprint mobile products. Stores are expected to be open in about 10 days.
