Activist investor buys large stake in Redbox

Activist investor Barry Rosenstein has bought a 14.5 percent share in Outerwall, the parent company of Redbox, for around $204 million, reports Forbes. Rosenstein, who made the investment through his Jana Partners outlet, believes Outerwall to be undervalued, declaring in an SEC statement that options include cost cutting as well as “pursuing a sale, selling and/or discontinuing businesses.” Outerwall not only competes with Netflix through its Redbox DVD kiosks, but also through Redbox Instant, a subscription streaming service the company jointly launched with Verizon.