August 11, 2005 -- (WEB HOST INDUSTRY REVIEW) -- Mark Cuban said on Wednesday that he would vote against the proposed sale of Register.com (register.com) to Vector Capital Corporation, according to a report by the Associated Press.
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Earlier this week, Register.com announced that it would be taken private and acquired by Vector Capital for approximately $200 million in cash.
Cuban, owner of the NBA's Dallas Mavericks, owns 3.3 million shares or 13.2 percent of the domain registrar and Web hosting provider. He said in a statement that the deal is not in the best interests of shareholders.
"The $200 million offering price does not come close to fairly valuing the business of this company," Cuban said. "In fact, I believe the transaction would be disastrous to the interests of the stockholders."
In June, Register.com rejected an acquisition offer tabled by RCM Acquisition Co. The offer was for $7.10 per share in cash. Vector Capital is prepared to pay $7.81 per share.
Register.com trades on the NASDAQ and recently regained compliance with the minimum bid price rule.
