Virage Logic Corp. [
VIRL] has joined the ranks of frustrated hostile acquirers. The chipmaker late Wednesday
said it has dropped its unsolicited $1.05 per share, or $10 million, offer for rival LogicVision Inc. [
LGVN]
As far as offer withdrawal letters go, the note from Virage executive chairman J. Daniel McCranie was rather tame. No "your future as a standalone company is doubtful," although Virage did say as much when it made its offer public earlier this month.
Just a simple: "We continue to believe that our offer provided your
stockholders with full and fair value for their shares, and you have
unfortunately foreclosed the ability of your stockholders to realize
this value."
The withdrawal follows LogicVision's
rejection earlier this week of Virage's offer, which was unveiled Dec. 3. LogicVision also announced that it has instituted a shareholder rights plan. We're guessing that Virage hasn't given up completely on LogicVision. It could consider a run at the chipmaker's board.
Shares of Virage were down 4.4% in morning trading, while LogicVision shares tumbled 11%, to 72 cents each.
-- Olaf de Senerpont DomisSee Dec. 17 press release on offer withdrawal from VirageSee Dec. 17 post on LogicVision rejecting Virage's offerSee Dec. 16 press release announcing a shareholder rights plan from LogicVision
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