Ipo Likely To Raise Millions For Kmart

Kmart Corp. could raise $270 million to $332 million through its planned initial public offering of a majority stake in the Borders Group, which operates the Walden Book and Planet Music store chains.

Kmart made the disclosure Tuesday in a registration statement filed with the Securities and Exchange Commission for the proposed stock sale.

It said 20.8 million Borders shares will be offered for $13 to $16 a share. After the stock is sold, Kmart’s stake in Borders Group will be reduced to about 48 percent from 100 percent, Kmart said in a statement.

The offering is expected to take place later this spring.

Borders Group is the holding company for Borders Inc. which operates 81 books and music stores; Walden Book Co., a mall-based book chain with 1,000 stores; and Planet Music, a music-store chain.