Genesis Microchip Inc. to be bought out by STMicroelectronics
Shares of Genesis Microchip Inc. (Nasdaq: GNSS) are rocketing in pre-market trading after the developer of integrated circuits said that STMicroelectronics (NYSE: STM) will acquire Genesis for an aggregate value of approximately $336 million, or $8.65 per share.
The offer price represents a premium of 60% over Genesis’ closing share price on Dec. 10, 2007 and a 26% premium over the average closing share price during the last sixty trading days.
Shares of Genesis Microchip (GNSS) rocketed 56.3%, or $3.04, to $8.44 in pre-market trading. Shares of Genesis Microchip have been trading in the range of $4.90 to $11.16 for the past 52 weeks.
