Another Infogroup shareholder complains proposed sale price for database provider is too low
By APWednesday, April 7, 2010
2nd Infogroup investor blasts proposed sale price
OMAHA, Neb. — Another investment firm is objecting to the proposed sale of database provider InfoGroup, saying the price CCMP Capital Advisors has agreed to pay is too low and that the economy makes this a poor time for the sale.
Stonerise Capital Partners sent a letter to Infogroup’s board on Tuesday — a day after Infogroup’s second-largest shareholder, Hotchkis and Wiley Capital Management, also objected to the $460 million deal.
Stonerise says it started buying Infogroup stock in early 2009 after company founder Vinod Gupta was ousted from his executive roles. Stonerise says it owns about 2.5 percent of the Omaha-based company’s stock.
Stonerise’s Jose Medeiros says recent sales of businesses similar to Infogroup yielded prices more than double the $8 per share CCMP is offering.
On the Net:
InfoGroup Inc.: www.infogroup.com
CCMP Capital Advisors LLC: www.ccmpcapital.com
Stonerise Capital Partners: www.stonerisecapital.com
Hotchkis and Wiley Capital Management: www.hwcm.com
