Cypress tops Uphill’s offer for ISSI — again

Cypress Semiconductor shoved some more chips into the pot Thursday in a duel with a Chinese investor group for Silicon Valley chip maker Integrated Silicon Solution Inc.

Its latest offer of $21.25 a share, or about $707 million, comes just a few days before shareholders are to vote on the Chinese offer of about $698 million.

Uphill Investment, a private equity consortium based in China, is bidding $21 a share. ISSI’s board has previously recommended that shareholders approve the consortium’s offer.

ISSI has been under pressure to sell by Starboard Value, an activist hedge fund that became the company’s biggest investor last year.

Starboard’s top brass were furious with ISSI’s board when Cypress disclosed in May that it had never been asked to bid on the company. Cypress’ bidding has forced Uphill to raise its offer from around $640 million to $698 million.

Cypress believes it now has the superior offer.

Cypress is offering to pay a “ticking fee” of 10 cents per share per quarter if the deal doesn’t close in October, when ISSI expects to close the deal with Uphill.

Photo: ISSI logo

 

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  • Judy Russell

    It’s a shame that US companies sell out to chinese and foreigners quite often. The “Made in America” slogan might not mean much as the companies are owned by Chinese and foreign conglomerates who send the profits “back home”. Ultimately they move the company offshore and we are left wondering what happened??

 
 
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