Fairchild suitors raise the heat on takeover bids
Photo Credit / Dilshan Jayakody/Flickr/Wikimedia Commons
Microscopic view of Fairchild Semiconductor chip.
ON Semiconductor Corp. extended its tender offer for Fairchild Semiconductor International Inc. until Jan. 20, but didn’t raise the amount of $20 per share, which is lower than an unsolicited offer of $21.70 from a Chinese investor group in late December.
Fairchild moved its headquarters from Maine to California in 2011 after laying off 120 workers here. It still has 650 employees in Westbrook, according to the Portland Press Herald.
The offer from ON Semiconductor of Phoenix, Ariz., which competes with Fairchild, was previously scheduled to expire Wednesday. In its offer, about 11.2% of Fairchild’s shares outstanding were tendered. The value of the deal is $2.4 billion in cash.
Fairchild said the offer from China Resources Microelectronics Ltd. and Hua Capital management Co. would likely constitute a “superior proposal,” according to the Wall Street Journal.
The newspaper reported that on Tuesday Fairchild said it hadn’t yet changed its recommendation regarding the November agreement with ON Semiconductor.
Fairchild sells components used in cars, smart phones, appliances and other products. The Wall Street Journal noted that the semiconductor industry has been consolidating amid weaker demand.
Read more
Most Recent
Most Recent
Comments