Cypress raises offer for Ramtron to $95 million

Reuters News
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Posted: Jun 21, 2012 7:23 AM
Cypress raises offer for Ramtron to $95 million
(Reuters) - Cypress Semiconductor Corp raised its offer price for Ramtron International Corp to about $95 million, its third offer in two years for its smaller rival.Cypress commenced a tender offer to buy Ramtron's outstanding shares at $2.68 per share, up from its previous offer of $2.48 per share.Ramtron's shares closed at $2.75 on Wednesday on the Nasdaq."Although we continue to seek a negotiated agreement with Ramtron, we are committed to pursuing our $2.68 per share cash offer and will take all necessary steps to complete it," Cypress Chief Executive T.J. Rodgers said in a statement.Cypress has raised its offer price "in the interest of quickly consummating a transaction", Rodgers said in a letter to Ramtron's board.Ramtron on Monday turned down Cypress's offer to buy the company for about $87.6 million, and said it would explore other options, including a sale.Cypress refused to accept a two-year standstill agreement proposed by Ramtron as a requirement to participate in its strategic review process. The agreement restricts Cypress from communicating with or making an offer to Ramtron's board or stockholders.The offer and withdrawal rights will expire at 12 midnight New York City time on July 19 unless the offer is extended, Cypress said in a statement on Thursday.Ramtron's shares have jumped more than 50 percent since Cypress made public its offer to buy Ramtron on June 12.(Reporting by Sruthi Ramakrishnan in Bangalore; Editing by Maju Samuel)