Also dont forget this. Napster was bought out for 54 million and only has 700K users. Lets face it they have been around for a LONG time so thats not that many users. If hypster starts some kind of pay service you will see this stock EXPLODE over night since it now has a way to get cash off of its already close to 600K user base. If they start some pay services they will get some buy out offers for damn sure.
Best Buy to acquire Napster for $54 million
By Dan Gallagher, MarketWatch
Last update: 9:50 a.m. EDT Sept. 15, 2008SAN FRANCISCO (Marketwatch) -- Best Buy Co. said Monday that it has signed a deal to acquire digital music provider Napster Inc. for $54 million, giving the retailer a means of taking on Wal-Mart in the increasingly important online-distribution channel.
Under the deal, Best Buy (BBY:Best Buy Co., Inc
News, chart, profile, more
Last: 36.52-0.98-2.61%
4:01pm 10/01/2008
Delayed quote dataAdd to portfolio
Analyst
Create alertInsider
Discuss
Financials
Sponsored by:
BBY 36.52, -0.98, -2.6%) will pay Napster (NAPS:napster inc com
News, chart, profile, more
Last: 2.62+0.01+0.38%
3:59pm 10/01/2008
Delayed quote dataAdd to portfolio
Analyst
Create alertInsider
Discuss
Financials
Sponsored by:
NAPS 2.62, +0.01, +0.4%) for $2.65 a share in cash, a premium of 95% over the value of the stock at the end of last week. The retailer also is paying about $67 million for cash and short-term investments on Napster's balance sheet as of June 30. Read MarketWatch First Take commentary.
The deal will give Best Buy an online digital music retail outlet as well as a subscription streaming service that has about 700,000 subscribers. That could help Best Buy to compete against retail giant Wal-Mart (WMT:Wal-Mart Stores, Inc
News, chart, profile, more
Last: 59.69-0.20-0.33%
4:00pm 10/01/2008
Delayed quote dataAdd to portfolio
Analyst
Create alertInsider
Discuss
Financials
Sponsored by:
WMT 59.69, -0.20, -0.3%) , which has its own online digital music offering.
"This transaction offers Best Buy a recognized platform for enhancing our capabilities in the digital media space and building new, recurring relationships with customers," Brian Dunn, Best Buy's president and chief operating officer, said in a statement.
"Over time we hope to strengthen our offerings to consumers, who we believe will increasingly seek devices and solutions that enable them to access their content wherever, whenever and however they want."
In morning trading, shares of Napster jumped $1.19 to $2.55. Best Buy shares dipped 34 cents to $44.15.
The deal has already been approved by Napster's board of directors. Best Buy said it expects to close the deal in the fourth quarter
Market Data 
Markets 
AI
