SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  For example, here is how to disable FireFox ad content blocking while on Silicon Investor.
Technology Stocks : TheStreet.com, Inc. (TSCM)

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10PreviousNext  
From: Jim Bryan6/12/2019 9:09:39 PM
   of 1821
 
TheStreet Agrees to Approximately $34 Million Takeover Deal
Company plans to sell itself to TheMaven for $6.19 to $6.47 per share in cash.

TheStreet Staff

Updated Jun 12, 2019 4:51 PM EDT

TheStreet Inc. ( TST) announced an agreement Wednesday to be acquired by a subsidiary of TheMaven ( MVEN) for $16.5 million in cash. Combined with some other considerations, the purchase values the company at $33 million to $34.5 million.

"This is a good outcome for TheStreet's shareholders," Eric Lundberg, TheStreet's chief executive officer and chief financial officer, said in announcing the deal. "After taking into account the ongoing development needs and operating costs of the remaining consumer business as a stand-alone public company, we believe this agreement represents the best way to maximize value to TheStreet shareholders."

Under terms of the agreement, investors will receive cash from Maven, and also a special distribution equal to the cash held by TheStreet immediately prior to the deal's closing (less any excluded liabilities agreed to between the parties). Additionally, stockholders will receive a special "contingent value right," or "CVR." This will entitle them to a pro-rata portion of funds held in escrow from TheStreet's previous sale of its RateWatch and BoardEx/TheDeal businesses.

All told, investors can expect a total cash consideration of $33 million to $34.5 million, or $6.19 to $6.47 per share. That represents a 7.8% to 12.6% premium over TheStreet's seven-day weighed average price of $5.74 as of Tuesday, the day before the deal's announcement.

The news sent TST shares up 6.6% to $6.06 a share, although MVEN ended unchanged at 42 cents a share.

Founded by James Cramer in 1996, TheStreet provides financial news and information through its flagship site TheStreet.com and several subscription-based premium products.

thestreet.com


Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10PreviousNext