Well, if the m2f function could be throttled to send the emails in batches, probably any solution would work. If it does not support throttling it would seem like it is not a well thought out script, especially for a very large board. This would almost certainly tank any server... if you had say, 20 posts per hour, all sending to 300 emails (or more on a busy board) each time.
If there is no throttling possible, I would say your best bet for the lowest cost would be one of the VPS packages, but I recommend at least a VPS medium because cPanel needs a lot of resources and sometimes the Lite package is just not enough for established sites.
A semi-dedicated may work as well, but for the same price or a little more you might as well get a private environment and unlimited email capabilities.


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