SINA defends itself, adopts shareholder rights plan

 |  Includes: SINA, SNDA
by: Ezra Marbach

In an effort to thwart the advances of Shanda Interactive (ticker: SNDA), (ticker: SINA) has adopted a shareholder rights plan. Here are the details:

Under the Rights Plan, each shareholder of record on the record date (expected
to be March 7th, 2005) will receive a distribution of one Right for each
ordinary share of the Company.

Following the acquisition of 10% or more of the Company's ordinary shares
(or, in the case of the members of the Shanda group, the acquisition of an
additional 0.5% or more of the Company's ordinary shares), the holders of
Rights (other than the acquiring person or group) will be entitled to purchase
from the Company ordinary shares of the Company at half price.  In the event
of a subsequent acquisition of the Company, the holders will be entitled to
buy ordinary shares of the acquiring entity at half price. The exercise price
of each Right is $150.