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Liquid Audio is deliberately delaying shareholder meeting, claims angry musicmaker.com
By Jon Newton, p2pnet.net
(more articles from this author)
2002-06-27
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Music Industry News - as it happens
Source: MusicDish/Mi2N - June 25, 2002

Musicmaker.com, Inc, with a 6.9% stake in Liquid, says the proposed merger of Liquid with Alliance Entertainment Corp is, "solely another attempt by current management to delay the 2002 annual meeting".

Announcing that the Delaware Court of Chancery has set a trial date of July 15 on its motion to require Liquid to hold its 2002 AGM, musicmaker.com says if it's successful, it expects Liquid will be required to set a new record date for the 2002 annual meeting and a new date for the annual meeting.

On May 3, musicmaker.com filed a lawsuit against Liquid to compel it to hold its annual meeting but suspended its action following the company's announcement that the AGM was scheduled for July 1.

"Subsequently, on June 13, 2002, Liquid Audio announced a proposed merger with Alliance Entertainment Corp. and the indefinite postponement of the 2002 annual meeting," says musicmaker.com. "As a result, musicmaker.com renewed its lawsuit to compel the annual meeting."

The Delaware Court also denied Liquid Audio's motion to dismiss the musicmaker.com suit.

Another Liquid shareholder, Steel Partners with 9%, last week opposed Liquid's proposed merger and offered to buy Liquid for $2.75 a share through a cash tender offer.

Related News from Mi2N:
» Delaware Court Sets Trial Date For Motion To Compel Liquid Audio's 2002 Annual Meeting


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