Cypress extends tender offer for Ramtron shares
SAN JOSE, Calif. (AP) — Cypress Semiconductor Corp. on Wednesday gave shareholders of Ramtron International Corp. two more weeks to accept its tender offer to buy all outstanding shares of the Colorado Springs, Colo.-based chip maker.
The offer of $2.88 per share was originally set to expire on Tuesday, but was extended until Sept. 25, the company said.
Cypress offered to buy Ramtron for $2.48 per share on June 12, raised its offer to $2.68 per share on June 21, and increased it again to $2.88 per share on Aug. 27. The latest bid values Ramtron at about $109 million.
But Ramtron's board earlier this week rejected the most recent offer, saying that it's still too low, and advised its shareholders to not tender their shares.
Cypress said Wednesday that Ramtron's 12-week strategic review period has failed to produce a better offer and that more delays will only reduce the value of Ramtron's stock.
Cypress, which is based in San Jose, Calif., also offered to buy Ramtron in 2011.
Ramtron shares slipped 11 cents, or 3.8 percent, to $2.76 in morning trading. The stock closed Tuesday up 47 percent for the year, but it has dropped about 5 percent in the current quarter.
Cypress shares added 19 cents to $12.62. The stock closed Tuesday down 26 percent since the start of the year.