| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers K > Headlines for Kudelski SA > News item |
OpenTV shareholder Discovery Group suggests company buy out Kudelski
By Lisa Kerner
Charlotte, N.C., June 9 - OpenTV Corp. shareholder Discovery Group I, LLC asked the company to offer to repurchase all of the company's shares currently owned by Kudelski SA for $1.35 per share.
Discovery Group suggested OpenTV use about half of its available cash to buy out Kudelski at a cost of approximately $60 million, according to a schedule 13D/A filed on Tuesday with the Securities and Exchange Commission.
On Monday, Kudelski announced it had dropped its bid to acquire OpenTV after the company rejected its $1.35-per-share offer.
Kudelski's primary ambition, Discovery Group said, could be to "maintain unfettered access to excessive idle cash at OpenTV, amounting to $114.2 million at March 31, 2009, in order to pursue large-scale acquisitions and capital spending projects for the benefit of Kudelski's global enterprise."
By repurchasing Kudelski's shares, OpenTV could restructure the board of directors and "allow management to set the strategic direction of the company on a course that maximizes the risk-reward opportunity for its U.S. public shareholders," Discovery Group said in the filing.
In April, Discovery Group called Kudelski's offer "egregiously inadequate and oppressive" and questioned the independence of OpenTV's special committee because two of the three committee members were appointed to the board by Kudelski.
OpenTV's software enables cable, satellite, telecommunications and digital terrestrial operators to offer enhanced television experiences to their viewers. The company is based in San Francisco.
Kudelski is based in Cheseaux, Switzerland, and provides digital security and convergent media solutions for the delivery of digital and interactive content.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.