AMSTERDAM (Thomson Financial) - ASM International N.V. said it has rejected
the joint bid for the company's Front-end operations from Applied Materials Inc.
and Francisco Partners, saying the bid "significantly" undervalues the
operations and "fails to reflect its future prospects."
ASMI added that wide offer value range, the complex structure of the
combined offer and the unclear terms of the partnership also represented
significant uncertainty and execution risks for ASMI's shareholders, employees
and other stakeholders.
ASMI received Tuesday an unsolicited indicative offer from Applied Materials
and Francisco Partners to buy all of the Dutch company's Front-end operations.
The combined offer valued the business at between $625 million and $800
million, ASMI said.
The offer would see Applied Materials Atomic picking up ASMI's atomic layer
deposition (ALD) and plasma enhanced chemical vapour deposition (PECVD)
activities for $400 million to $500 million valuation, with Francisco Partners
taking the remaining front-end activities, including epitaxy and vertical
furnaces, for $225 million to $300 million valuation.
Cornelia Messing; cornelia.messing@thomsonreuters.com
cmm/lam
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