Emmis Adjourns Shareholder Meeting With No Vote

RADIO ONLINE | Friday, August 13, 2010 | 10:51pm CT

For the third time Emmis has postponed the vote on taking the company private. Even so, the broadcaster said eariler this week that it was encouraged by negotiations with a group of preferred shareholders. Emmis has rescheduled the shareholder vote for August 20, seventeen days after the original vote was to take place.

"We continue to engage in discussions with preferred shareholders," said Emmis general counsel Scott Enright. "The tenor of those talks has been encouraging, but we can't make any assurances at this time."

Eight firms that hold a collective 38% of Emmis preferred stock recently banded together in a bid to prevent the sale. Under Smulyan's proposal, approval from the holders of a majority of Emmis shares would need to back the sale.

Also, CEO Jeff Smulyan's JS Acquisition is extending its tender offer to purchase all of Emmis' outstanding shares of class A common stock for $2.40 per share in cash until August 20. Emmis shares closed at $2.06 on Friday.