News Article
Axcelis Technologies unanimously rejects unsolicited takeover proposal
Board views unsolicited proposal by Japanese company, Sumitomo Heavy Industries and TPG as not in best interests of Axcelis and its shareholders.
Axcelis Technologies, Inc. announced that its Board of Directors has unanimously rejected an unsolicited proposal by a Japanese company, Sumitomo Heavy Industries, Ltd. (SHI) and its private equity partner, TPG, to acquire all Axcelis common stock for $5.20 per share as not in the best interests of Axcelis and its shareholders.
The Board, after thoroughly reviewing the proposal with its financial and legal advisors, concluded that the proposal substantially undervalues the Company and its prospects of reclaiming its market share and creating value for its shareholders. The Board's priority is to enable Axcelis to realise its long term potential and, in turn, generate enhanced value for shareholders. The Board regularly evaluates all available strategic opportunities and will continue to do so. The Board is confident of Axcelis' long term potential and the company's ability to deliver attractive value to shareholders as it capitalises on thispotential.
Mary G. Puma, Chairman and Chief Executive Officer emphasized, "The Board and management of Axcelis are confident that Axcelis and its shareholders are well positioned to realise increasing benefits from the roll out of Optima HD over the near term and other technological innovations over the long term. SHI's opportunistic proposal fails to recognise this value despite SHI's being well aware of the strength of Axcelis' intellectual property, our strong product portfolio and high levels of customer satisfaction."
Stephen R. Hardis, Lead Director of Axcelis' Board of Directors, commented, "SHI and TPG appear to be timing their unsolicited proposal to reap all of the benefits of the investments Axcelis has made in developing new products over the past several years, leaving Axcelis shareholders with inadequate value in return for that investment. In addition, the proposal ignores the value SHI would obtain by acquiring full ownership of SEN, a Japanese joint venture Axcelis has with SHI."
Goldman, Sachs & Co. is acting as financial advisor and Wachtell, Lipton, Rosen & Katz LLP and Edwards Angell Palmer & Dodge LLP are acting as legal advisors to Axcelis.
The Board, after thoroughly reviewing the proposal with its financial and legal advisors, concluded that the proposal substantially undervalues the Company and its prospects of reclaiming its market share and creating value for its shareholders. The Board's priority is to enable Axcelis to realise its long term potential and, in turn, generate enhanced value for shareholders. The Board regularly evaluates all available strategic opportunities and will continue to do so. The Board is confident of Axcelis' long term potential and the company's ability to deliver attractive value to shareholders as it capitalises on thispotential.
Mary G. Puma, Chairman and Chief Executive Officer emphasized, "The Board and management of Axcelis are confident that Axcelis and its shareholders are well positioned to realise increasing benefits from the roll out of Optima HD over the near term and other technological innovations over the long term. SHI's opportunistic proposal fails to recognise this value despite SHI's being well aware of the strength of Axcelis' intellectual property, our strong product portfolio and high levels of customer satisfaction."
Stephen R. Hardis, Lead Director of Axcelis' Board of Directors, commented, "SHI and TPG appear to be timing their unsolicited proposal to reap all of the benefits of the investments Axcelis has made in developing new products over the past several years, leaving Axcelis shareholders with inadequate value in return for that investment. In addition, the proposal ignores the value SHI would obtain by acquiring full ownership of SEN, a Japanese joint venture Axcelis has with SHI."
Goldman, Sachs & Co. is acting as financial advisor and Wachtell, Lipton, Rosen & Katz LLP and Edwards Angell Palmer & Dodge LLP are acting as legal advisors to Axcelis.
