Feeds

CMGI-Engage marriage annulled

Pre-nuptial disagreement

  • alert
  • submit to reddit

Internet Security Threat Report 2014

ComputerWire: IT Industry Intelligence

CMGI Inc has pulled out of its bid to take full control of Engage Inc, its majority-owned online advertising subsidiary, after disagreements about which direction to take the firm. As a result, CMGI's chairman and CEO have both resigned from Engage's board.

May 21, CMGI announced its intention to acquire the 24.5% of Engage it does not already own, via an offer of 0.2286 CMGI shares for every outstanding Engage share, representing a premium of about 20% on the previous day's closing price.

"During the last month since we made the proposal, senior management of Engage and CMGI could not reach consensus as to the execution of the business strategy for Engage," said CMGI CFO Thomas Oberdorf. "As a result, CMGI has decided to withdraw its proposal."

George McMillan, CMGI's CEO, and David Wetherell, CMGI's chairman and former CEO, have both resigned from Engage's board of directors as a result of the falling out. Both companies recently reported disappointing third fiscal quarter numbers, posting big net losses on sales that continue to slide.

© ComputerWireTM

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
Bono apologises for iTunes album dump
Megalomania, generosity and FEAR of irrelevance drove group to Apple deal
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Arab States make play for greater government control of the internet
Nerds told to get lost in last-minute power grab bid at UN meeting
Apple SILENCES Bose, YANKS headphones from stores
The, er, Beats go on after noise-cancelling spat
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
Zippy one-liners, broken promises: Doctor Who on the Orient Express
Series finally hits stride, but Clara's U-turn is baffling
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
America's super-secret X-37B plane returns to Earth after nearly TWO YEARS aloft
674 days in space for US Air Force's mystery orbital vehicle
10 Top Tips For PRs Considering Whether To Phone The Register
You'll Read These And LOL Even Though They're Serious
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.