Attention CNET Shoppers: CNET Open to Higher Bidders

CNET Networks surprised the market, and no doubt Jana Partners, with its announcement Thursday that it would be acquired by CBS. But the merger agreement filed by CNET on Thursday contains its own surprise. CNET has negotiated a rather unique provision that gives it more leeway than usual to find another, higher bidder. If it can.First, some background. Go-shop provisions have become commonplace in private equity acquisitions. Or at least were common when there used to be private equity acquisitions.A go-shop provision permits a target to solicit other competing bidders for a period, usually 30 to 60 days, after announcement of the initial agreement.
http://dealbook.blogs.nytimes.com/2008/05/16/attention-cnet-shoppers/

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