Gemstar-TV Guide Considers Sale
The board of directors of Gemstar-TV Guide International Inc. announced this week that it will allow company management to explore strategic alternatives intended to maximize shareholder value, which may include a sale of the company.
“The company has made significant improvements throughout its businesses and the board is very pleased with the growth and strategic direction under CEO Richard Battista,” says Anthea Disney, chairman of the board. “We are now poised to investigate the range of available strategic alternatives for continuing to build shareholder value.”
TV Guide’s advertising revenue was up 18.2 percent through the first three months of 2007, and the publishing group accounted for 22 percent of the company’s total first-quarter revenue.
The board of directors will work with the company’s management and its legal and financial team to identify a course of action it believes is in the best interest of all its shareholders. UBS Investment Bank will serve as financial advisor while Wachtell, Lipton, Rosen and Katz acts as legal advisor.