Friday, September 23, 2005

Intermix Founder Protests Acquisition

The former founder and CEO of Intermix Media, Brad Greenspan, is on a campaign against the acquisition of the company by News Corp. Greenspan, who was head of Intermix until October of 2003, has set up www.intermixedup.com to outline his reasons for voting against the acquisition of Intermix by News Corp. Among other things, he claims that the deal radically undervalues MySpace.com, pads the pockets of the executives at the expense of shareholders, and that executives at Intermix have engaged in insider trading and rushed into the deal to protect themselves from personal liability. The site also argues that VantagePoint Venture Partners, the controlling shareholder of Intermix, diverted funds from common shareholders using a liquidation clause which it shouldn't have been allowed to use.