BOULDER, Colo.—New Frontier Media announced today that its board of directors was reelected at its annual meeting of shareholders held Thursday, October 18. Shareholders also ratified the appointment of Grant Thornton LLP as the Company's independent registered public accounting firm for the fiscal year ending March 31, 2013.
"Last week," the company said in an announcement issued Monday, "New Frontier Media announced that the Company had signed a definitive agreement to be acquired by LFP Broadcasting for $2.02 per common share in cash up front, or approximately $33 million, plus a contingent cash payment right for each common share. The acquisition price represents approximately a 79 percent premium to New Frontier Media's closing stock price on March 8, the day before New Frontier Media received a publicly-announced unsolicited acquisition proposal. The acquisition is expected to close during the fourth quarter of 2012. The transaction is the result of a review of strategic alternatives to maximize shareholder value conducted by the four directors who were reelected, each of whom served on the Board's special committee of independent directors."
The reelected board of directors issued the following statement:
"The board of directors appreciates the support of New Frontier Media's shareholders. Over the last eight months, we have worked diligently to maintain a fair and level playing field for all parties who participated in our review process, and we are pleased that our efforts resulted in a very positive outcome for all our shareholders. This all-cash transaction provides shareholders immediate and certain liquidity at a substantial premium. We also believe that this transaction with LFP Broadcasting creates a great opportunity for our organization, cable television partners and customers as two of the premier adult media broadcasting companies join forces. We look forward to completing the transaction as expeditiously as possible."
For more information about New Frontier, go here.
