B&N, Microsoft team up on Nook, college businesses (BKS) and Microsoft Corp. (MSFT) say they are teaming up to create a new Barnes & Noble subsidiary that will house the digital and college businesses of the bookseller and include a Nook application for Windows 8. The companies say they are exploring separating those businesses entirely. That could mean a stock offering is in the works. Microsoft will make a $300 million investment in the subsidiary for an approximately 17.6 percent stake. Barnes & Noble will own about 82.4 percent of the subsidiary, which has yet to be named. The companies say the subsidiary will help to speed the transition to e-reading. Barnes & Noble sells the Nook e-reader. The Nook app will make Barnes & Noble's catalog of e-books, magazines and newspapers available to Windows customers.