Friday, August 29, 2008
Napster Hires Investment Bank UBS, In Proxy Battle
Los Angeles-based Napster, a provider of digital music services, disclosed that the firm has hired investment banker UBS Investments and is open to sale of the firm, as part of a proxy battle with what the firm calls "dissident board candidates." In a letter to its stockholders, Napster urged that its shareholders re-elect its current directors and ignore three dissident board candidates who are attempting to score board seats at the firm. Napster said in its letter to stockholders that it continues to evaluate all options for maximixing stockholder investments in Napster, including exploring "possible strategic alternatives."