Ruminator Books, located in St. Paul, Minn., reported last week that the Minnesota Department of Commerce has approved its plan for a public stock offering, a move the bookstore is making to ward off bankruptcy. As a result, the bookstore may begin immediately selling stock to Minnesota residents at $1 per share, with a minimum $250 investment. Ruminator hopes to raise between $450,000 and $1 million through the offering.
If Ruminator is unable to raise enough funds "to make the store well-stocked and vital" by the end of January, owner David Unowsky said, the store will close. Unowsky told PW, "It's pretty clear that we have no choice. People have to understand that we have plans. We have to raise the money. And if we can't raise the money, we'll have to close."
Ruminator has had serious financial problems for the past year, which Unowsky attributed mostly to the losses incurred when its satellite store at the Open Book Literary Center closed last March and to competition from nearby chain and other bookstores. Two weeks ago, Ruminator concluded a two-week online auction of literary artifacts donated by prominent authors and other store supporters. The auction raised enough funds for the store to pay its monthly rent to its landlord, Macalester College.
