It was just supposed to be a three-hour tour, um, quick sale process!
But, like a storm-tossed ship looking for any safe harbor, the MySpace sale is still chugging along, with a deal that continues to be tossed around among low-paying and new lesser-known buyers who are now in the $20 million to $30 million range, said sources close to the situation.
The price, said others, could go as high as $35 million, but it's far cry from the $100 million that News Corp. had been aiming for.
As part of the deal, sources said the News Corp. unit will be making significant cuts in staff and costs--up to 50 percent or more--all contingent on the purchaser. The staff cuts are, obviously, directly related to the transaction and the winning bidder.
The media giant might also retain a small minority stake.
The two names--Specific Media and Golden Gate Capital--that are now in the forefront for an acquisition deal that News Corp. hopes to complete by Thursday, its fiscal year-end, have not been among the acquirers mentioned previously in the myriad of reports about the deal.
Specific Media--a large, if lesser known, advertising network--seems to be in the lead, said sources. It has been around for a half-decade and has been funded by Francisco Partners. … Read more