MySpace Founder Claims Foul Play on News Corp. Deal
Brad Greenspan, founder of MySpace.com, is seeking a federal investigation on the sale of his company (Intermix Media) to News Corp., last year.
On Oct. 5, Greenspan accused former Intermix Chief Executive Richard Rosenblatt of hiding revenue growth data at MySpace from shareholders to present a distorted financial picture and execute a deal quickly. Greenspan’s claim contends MySpace could now be worth more than $20 billion.
It will be difficult to determine whether MySpace was truly undervalued at the time, or if it has just grown beyond expectations, since the acquisition.