Late Wednesday, activist fund manager Dolphin LP said in a release that it sent a letter to Multimedia’s board encouraging it to seek a sale or merger as a way of maximizing profits. Dolphin owns about 900,000 shares of Multimedia, about a 3% stake.
Dolphin’s efforts come after hedge fund manager Emanuel Pearlman of Liberation Partners began pressing the company to consider share-enhancing changes last year. In October 2006, Multimedia Games agreed to name Pearlman and another of his allies as directors after the dissident shareholder agreed to cancel a proxy contest intended to nudge the company into a formal auction. — Ron Orol
See Dolphin's letter via a press release on CNNmoney.com
Ron Orol is a Washington-based reporter for The Deal and author of Extreme Value Hedging: How Activist Hedge Fund Managers Are Taking on the World.
