Sunday, April 26, 2009

Tundra Receives Higher Acquisition Bid from IDT

Integrated Device Technology has bid to acquire Tundra Semiconductor for Cdn $6.25 per share in cash, representing an aggregate purchase price of approximately Cdn $120.8 million. The IDT Offer is not subject to any due diligence condition, and IDT has indicated that the purchase price payable under its offer will be funded from IDT's cash balance.

On March 19 Gennum Corporation make an offer to acquire Tundra. Under the agreement (which was amended on April 16), Gennum agreed to acquire all of the issued and outstanding shares of Tundra for consideration of, at the election of the holder, a cash price of Cdn $5.81 per share or 1.1679 common shares of Gennum or a combination thereof, subject to pro ration.

The Tundra Board of Directors has determined that the IDT Offer constitutes a "Superior Proposal" but is obliged to consider any counter proposal from Gennum.

IDT said the strength of Tundra in serial switching and bridging using PCI Express, Rapid IO and VME, would reinforce its leadership in interconnect solutions for the communication, computing, and embedded segments.