Martha Stewart signed a “long term commitment” to remain as Chief Creative Officer of her media and merchandising properties, according to the agreement announced this morning to sell her company to Sequential Brands Group. The domestic diva also will be a “significant shareholder” and board member of a new public holding company.
But other Martha Stewart Living Omnimedia shareholders seem unimpressed with the agreement to sell the troubled media and merchandising company to Sequential for $6.15 a share split between stock and cash. Martha Stewart Living’s stock price is down 13.3% to $6.05. It closed on Friday at $6.98 after word of the deal negotiations spread.
Investors appear to believe that nobody will top Sequential’s offer in the 30-day “go shop” period Stewart has as part of the deal. The terms must be approved by a majority of her company’s outside shareholders — that is, those not including Stewart who otherwise controls nearly 90% of the voting shares…
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