Friday, October 06, 2006

Brad Greenspan seeks probe of MySpace deal

Brad Greenspan, founder of MySpace seeks probe of News Corp. deal from last year.

The founder of parent Intermix Media on Thursday stated he is seeking a federal investigation of the sale of Intermix to News Corp. last year, claiming the deal defrauded shareholders by undervaluing the Internet's most popular networking site.

Brad Greenspan, Intermix founder, has been an outspoken opponent of the deal and in February sued the News Corp. unit and venture capital firm VantagePoint Venture Partners for breach of fiduciary duty.

In fact, some people lately started to speak for a MySpace valuation in the range of $15B to $20B in the next years, yet at the time the site was acquired by News Corp the price was much more than many industry experts belived is possible...

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