AfterDawn: News

The MP3.com Inc. shares rose 37 percent Thursday as investors highly appreciate the licensing deal between MP3.com Inc. and Universal Music.

Analysts are cautiously enthusiastic about the prospects for the company, cheered by the resolution of a 10-month old copyright infringement lawsuit, but anxious for the company to execute its business plan.



Shares closed at $8-1/2 on Thursday, up $2-5/16, or 37 percent, the day's largest percentage gainer on Nasdaq. They reached as high as $9-1/4, the highest level since August. Since the licensing deal was announced, the company has seen its market capitalization jump to $582 million from $273.9 million.

On Tuesday, the company agreed to pay Seagram Co's Universal Music $53.4 million in damages after a U.S. district court held that a database of 80,000 albums copied by MP3.com for their My.MP3.com service violated copyright law. After the agreement was reached MP3.com re-opened the My.MP3.com service.

Source:
Yahoo! News

Written by: Jari Ketola @ 16 Nov 2000 14:22