Investors owning more than 83% of New Frontier’s stock accepted Larry Flynt’s $33M offer — $2.02 a share, plus a 4 cent a share cash payment right — which expired at midnight. That means the Hustler publisher’s Flynt Broadcast has the votes needed to buy the publicly traded company “without the affirmative vote of any other New Frontier shareholder,” the company says. Still, Flynt will buy additional shares directly from New Frontier, at the same price he offered others, to reach 90% — the threshold that would enable him to complete the deal under Colorado law as a “short-form” merger. New Frontier shares are up 1.5% today to $2.05, a 95% increase over the last 12 months — but down nearly 60% over the last five years as the company struggled to compete with the proliferation of online porn. New Frontier produces VOD features, and offers the Penthouse TV premium channel and pay-per-view services packaged as The Erotic Networks (or TEN) that include Xtsy, Juicy, and VaVoom.
By DAVID LIEBERMAN, Financial Editor | Wednesday November 28, 2012 @ 3:12pm ESTTags: Larry Flynt, New Frontier Media
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