Ask Jeeves StockHolder Suing IAC Over Purchase
According to the Seattle Post-Intelligencer, an Ask Jeeves shareholder is obviously a little disappointed in the valuation IAC has placed on Ask Jeeves.
Ask Jeeves shareholder Richard Wiltsie said in a suit filed yesterday in Delaware Chancery Court in Wilmington that company directors agreed to the deal “without fulfilling their most basic obligation to conduct a full and fair sale process” to get the best price.
…IAC’s offer was a 17 percent premium over Ask Jeeves’ closing stock price March 18, yet is below last year’s $44.05 share price high, reached April 26. Analysts said Ask Jeeves is one of the last independent search engines with its own technology and could be attractive to other companies.
A second bidder may outpace IAC with a 20 percent to 25 percent premium, Credit Suisse First Boston analyst Heath Terry said in a research report issued Tuesday. Terry said he believed IAC is buying “a quality asset cheap.”
From the Seattle Post-Intelligencer
Andy Beal is an internet marketing consultant and considered one of the world’s most respected and interactive search engine marketing experts. Andy has worked with many Fortune 1000 companies such as Motorola, CitiFinancial, Lowes, Alaska Air, DeWALT, NBC and Experian.