The Chinese offer, of $21.70 per share in cash, was tendered on December 28, 2015, by China Resources Microelectronics Ltd. and Hua Capital Management and values Fairchild at about $2.46 billion. It compares with one of $20 per share that Fairchild accepted and entered in a merger agreement with On Semiconductor on November 18. This values Fairchild at about $2.4 billion.
On January 5, Fairchild said the Chinese offer could reasonably be expected to constitute a superior offer and would be examined although the board continued to support its recommendation of the agreed On Semi offer (see Fairchild says Chinese bid could be better ). After conducting a review, and after consultation with Fairchild’s legal and financial advisors, the board of directors has concluded that the acquisition proposal is not superior to Fairchild’s existing agreement with On Semi.
As a result Fairchild remains subject to the On Semi merger plan and the Fairchild board continues to support that agreement.
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