Monday, January 7, 2008
A consortium of investment funds led by Jana Partners reportedly seeks to take control of the board of directors of CNet Networks, whose shares have underperformed its competitors.' The group recently sent a letter to the CNet board about its plans, which the company has not disclosed. CNet has an 8-person staggered board; the consortium seeks to replace two directors and amend the bylaws to increase the board to 13 and then fill the new appointments. CNet bylaws, however, state that no shareholder can propose bylaw amendments unless it has owned at least $1000 worth of shares for a year, which the consortium may not have. NYTimes, Investors Said to Seek a Takeover of CNet.