MediaNews launches proxy fight

Monster Worldwide Inc. is facing a potential proxy fight from its largest shareholder, which opposes the online jobposting company’s pending sale to a Dutch recruitment firm.

MediaNews Group Inc., an activist investor that has a nearly 12 percent stake in Monster, said Friday that it planned to nominate seven members to replace Monster’s entire board. MediaNews, in a letter to Monster shareholders, said it has no confidence in Monster’s current management and called Monster’s sale process “flawed and unorganized.”

MediaNews owns newspapers, including The Denver Post.

In August, Monster announced a deal to sell the company to Randstad Holding NV for $429 million, a 23 percent premium to Monster’s share price at the time. Since then, MediaNews has criticized the deal, calling it the definition of “selling at the bottom,” and has tried to rally shareholder support.

Monster said Friday that its board continues to recommend the Randstad offer, adding that it remains the “best offer on the table.” Monster shares rose 1.7 percent to $3.61 Friday. The deal with Randstad values Monster at $3.40 a share.