Ramtron (RMTR) Shares Rally as Cypress (CY) Offers $2.48/Share in Cash

June 12, 2012 10:17 AM EDT
Get Alerts RMTR Hot Sheet
Trade RMTR Now!
Join SI Premium – FREE
Shares of Ramtron (Nasdaq: RMTR) have surged more than 35 percent Tuesday morning following earlier news Cypress Semi (Nasdaq: CY) has submitted a bid to buy the company for $2.48 per share in cash.

Cypress' President and CEO TJ Rodgers said, "We believe that our offer provides compelling value to Ramtron’s stockholders. Last year, we attempted to negotiate an acquisition of Ramtron, but our offer of $3.01 per share—which represented the same 37% premium to Ramtron’s then-current stock price as we are offering today—was summarily rejected. Soon thereafter, Ramtron sold almost 20% of its stock in a dilutive public offering at a net price of $1.79 per share.

“At this time, we call on Ramtron’s Board of Directors to act in the best interests of its stockholders by meeting with us to seriously discuss our compelling proposal. We believe that Cypress would benefit Ramtron’s customers, providing them with a more stable source of supply, greater research and development resources and better support from a much larger sales channel. We also believe the combination would provide Ramtron’s employees with more opportunity for long-term success as part of a larger, more global organization."

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In

Related Categories

Mergers and Acquisitions

Add Your Comment