Today was the deadline for Pandora to either secure a buyer or take a $150 million investment from KKR with high interest and difficult terms attached. Now today's deadline has been extended so that Pandora can "explore interest expressed by a strategic investor."
"Although all conditions to closing of the investment by KKR in Pandora (NYSE: P) have been met and both parties are prepared to close immediately, KKR and Pandora agreed to a brief extension of the pre-closing period and Pandora's termination right to enable Pandora to explore interest expressed by a strategic investor in making a substantial minority investment in Pandora, in lieu of the KKR investment. If Pandora determines that the KKR investment continues to be in the best interest of its stockholders, the KKR investment will close immediately following the expiration of this extended period."
Neither the length of the extension or who the "strategic investor" is were revealed. SiriusXM has been widely believed to be the most likely buyer. But in recent days a possible $100 million investment from Verizon has also been rumored.
Pandora stock continued to fall on the news, dropping another 1.65% to a new yearly low of $8.34.