International Rectifier Corp., the El Segundo-based maker of power management computer chips, said Tuesday that it rejected a revised buyout offer by Vishay Intertechnology Inc.
The board of IR -- as the South Bay firm is known -- was unanimous in turning down Vishay's unsolicited all-cash bid of $23 a share.
IR chairman Richard J. Dahl said in a statement: "Vishay's offer still significantly undervalues the future prospects of the company when compared to the value that we expect our new strategic plan to deliver to our shareholders."
Malvern, Pa.-based Vishay's Sept. 10 offer was an improvement over the previous bid of $21.22 for each outstanding share of IR stock.
"We are disappointed that International Rectifier still refuses to negotiate with Vishay regarding our increased $23 per share in cash proposal," Vishay said in a statement. "We are confident our all-cash premium proposal would provide International Rectifier stockholders with far greater value than what International Rectifier could achieve on its own in the foreseeable future."
Vishay is in the midst of a hostile takeover attempt, with its own slate of three candidates for the board, at the annual meeting scheduled for Oct. 10. If Vishay's slate wins, the firm would have a large and presumably vocal minority promoting its buyout attempt on the eight-person board.
In a statement, IR's Dahl's referred to Vishay's conduct as "heavy-handed and destructive" in order to "pressure the board and our stockholders to sell the company at a bargain price."
Leave a comment