Dolphin Limited seeks representation on Multimedia Games board

By Lisa Kerner

Charlotte, N.C., Oct. 1 - Multimedia Games, Inc. investors led by Dolphin Limited Partnership III, LP are seeking representation on the company's board of directors, it was reported in a schedule 13D filed with the Securities and Exchange Commission.

Dolphin said that as one of Multimedia Games' largest shareholders, it has "a strong incentive to maximize shareholder value."

In the filing, Dolphin said it looks forward "to hearing a board approved, detailed strategic operating plan by the 2008 fourth quarter conference call" addressing how Multimedia Games intends to close the "sizeable" valuation gap for its shareholders.

According to the investors, sellside analysts are forecasting as much as $45 million to $50 million in free cash flow for Multimedia Games in fiscal 2009. As a result, Dolphin said it believes "a rigorous debate about proper capital allocation is required."

The investors bought 339,557 shares of Multimedia Games between Sept. 19 and Sept. 30 at prices from $4.2113 to $4.4826 each, the filing said.

Dolphin beneficially owns approximately 1.24 million shares, or 4.7%, of the Austin, Texas-based company's stock. Multimedia Games develops systems, content, electronic games and player terminals for the Native American and other gaming markets.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.