Gemstar-TV Guide Considers Sale

Jul 10, 2007  •  Post A Comment

Gemstar-TV Guide today said it was considering putting itself up for sale. The company is 41 percent owned by News Corp.
Gemstar, which provides interactive program guides for cable systems as well as the TV Guide Channel, said its directors authorized the company and its advisors to explore strategic alternatives intended to maximize shareholder value. The company added that there was no assurance that a transaction would result from the efforts.
Once a high-flier, the company has been in the dumps since former CEO Henry Yuen was embroiled in charges that he fudged the company’s finances.
“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,” said Anthea Disney, chairman of Gemstar-TV Guide. “We are now poised to investigate the range of available strategic alternatives for continuing to build shareholder value.”
The Board of Directors will work with the company’s management team and its legal and financial advisors to evaluate the Company’s available alternatives and identify the course of action it believes is in the best interests of all its shareholders.
UBS Investment Bank is acting as financial advisor to the company, and Wachtell, Lipton, Rosen & Katz is acting as legal advisor.
(Editor: Romanelli)

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