NexCen Brands' Proposed Asset Sale Recommended By Nation’s Two Leading Independent Proxy Advisory Firms

NexCen Brands, Inc. (PINK SHEETS: NEXC.PK) today announced that both of the nation’s leading independent proxy advisory firms, Glass Lewis & Co. and ISS Proxy Advisory Services (ISS), recommend that NexCen Brands’ shareholders vote “FOR” the sale of its franchise business to an affiliate of Levine Leichtman Capital Partners (“LLCP”), as well as “FOR” the additional proposals in the Company’s June 11, 2010 proxy statement. The analyses and recommendations of ISS and Glass Lewis & Co are relied upon by hundreds of major institutional investment firms, mutual funds and fiduciaries.

David S. Oros, Chairman of Board of Directors of NexCen Brands, Inc., stated, “We are extremely pleased that, in addition to ISS’ recommendation, Glass Lewis also has issued a recommendation in favor of the items outlined in our 2010 proxy. The support of these highly respected firms independently validates that the proposed sale of our business to an affiliate of LLCP represent the most favorable option for all of our stakeholders. As such, we continue to urge NexCen Brands’ shareholders to vote “FOR” all four of the proposals.”

In recommending that NexCen shareholders vote “FOR” the proposed asset sale and dissolution, Glass Lewis stated:

• The NexCen “board conducted a thorough evaluation of strategic alternatives that involved multiple interested parties prior to entering into the [asset sale] agreement.”
• “If the asset sale is not completed, it appears that shareholders may receive little or no value at all from any remaining alternatives, such as bankruptcy protection.”
• “While it is never ideal for shareholders to be forced to undergo a liquidation/dissolution event, in light of the Company’s limited alternatives and the anticipated cash distribution to shareholders, we believe the proposed asset sale and dissolution are in the best interest of shareholders.”*

Last week, ISS recommended its client vote “FOR” the asset sale and other proposals on the agenda. In its analysis, ISS concluded by stating that “non-approval of the liquidation transaction would likely result in foreclosure of NexCen's assets by its creditors or bankruptcy, both of which would wipe out shareholder value. Therefore, the asset sale and liquidation transaction is preferable.”*