NEW YORK (CelebrityAccess MediaWire) — CKX, Inc., announced that it has agreed to a revised acquisition proposal made by 19X, Inc., paving the way for a merger between the two companies. 19X is a privately owned company controlled by owned and controlled by Robert F.X. Sillerman, Chairman and Chief Executive Officer of CKX, and Simon R. Fuller, also by a strange coincidence, a director of CKX. Fuller is also the creative mind behind Fox's popular "American Idol" series.
The merger was made possible by the provisional settlement with a litigious group of stockholders which was reached when the buyout terms were modified to give the stockholders a greater price per share and conduct a new "go shop" period of 45-60 days where they will actively solicit better offers for CKX.
A memorandum of understanding has been signed by the Company and plaintiff’s counsel in the pending Del Shareholders lawsuit challenging the transaction reflecting the tentative settlement agreement and memorializing the terms described above. While the settlement remains subject to court approval, these terms are now definitively part of the transaction and represent the final terms, regardless of whether the settlement is ultimately finalized.
Commenting on the series of transactions, Mr. Sillerman said, "Simon and I are pleased that, in this climate of market turmoil, we have agreed with the CKX Special Committee and with the plaintiffs in the current stockholder litigation to a revised transaction that delivers significant value to the CKX stockholders and provides for greater certainty of closing. We will press forward to a swift closing of the transaction and beginning CKX’s future as a private company." – CelebrityAccess Staff Writers