Who wants to buy Napster
The online music service, once an industry renegade, is now looking for a deep-pocketed parent. Here's who might be interested in buying Napster.
Napster, once synonymous with illegal file sharing, is now legit: a public company that plays nice with the music industry and is experiencing healthy revenue growth as a result.
In fact, Napster Inc. (up $0.26 to $4.71, Charts) is one of the few Internet stocks having a good year - the stock's up more than 25 percent in 2006. But even though it is Wall Street's equivalent of a Billboard number-one hit, Napster does not have strong financials.
So why are investors flocking to Napster like college kids circa 1999 looking for free Metallica downloads? The hope is that Napster could be the next YouTube, which cashed in earlier this month by agreeing to sell out to Google (Charts) for $1.65 billion.