QualityStocks'  Instablog

QualityStocks
Send Message
QualityStocks (www.qualitystocks.net) assists publicly traded companies by getting their story out to the investment community while helping investors discover emerging companies with plenty of growth potential. Our name, QualityStocks, emphasizes our commitment to connect subscribers with... More
My company:
QualityStocks
My blog:
QualityStocks Micro-Cap and Small-Cap Blog
  • SMART Modular Technologies Inc. (SMOD) to Go Private in $645M Acquisition Deal 0 comments
    Apr 26, 2011 2:25 PM | about stocks: SMOD

    SMART Modular Technologies Inc., a leading independent manufacturer of memory modules and solid state storage products, today announced it will be acquired by Silver Lake Partners and Silver Lake Sumeru for $9.25 per share in cash in a deal valued at approximately $645 million. The offer price represents a 23 percent premium over the average closing price for the previous 30 trading days and a 46 percent premium over the average closing price for the previous 52-week period.

    “After thoroughly evaluating a full range of strategic alternatives, the Special Committee of the SMART Board concluded that this transaction is fair to and in the best interests of the company’s shareholders,” Kimberly Alexy, chair of the Special Committee stated in the press release. “The Special Committee unanimously recommended this transaction to the SMART Board, which approved the transaction based on the Special Committee’s recommendation.”

    Iain MacKenzie, president and CEO of Smart Modular, said a private position will enable the company to execute its business goals and expand business.

    “As a private company, we believe we will have greater flexibility to deliver to our customers the benefits of our long-term strategies, while managing the volatility of the DRAM cycles that have and will continue to be part of our business model,” MacKenzie stated in the press release. “As a partner with strong technology expertise, Silver Lake will be committed to supporting our ability to grow our business around the world and provide long-term opportunities for our employees, customers and broader industry.”

    Silver Lake Partners noted its approval of Smart Modular’s performance in the past, and said the firm’s experience will boost Smart Modular’s operations and position in the industry.

    “SMART has a significant history of success. We are very pleased to have an opportunity to work with SMART’s management team to develop this business going forward in existing and new directions,” Ken Hao, a managing director of Silver Lake Partners stated. “We expect to maintain continuity in SMART’s business approach and strategies, customer service and support and employee base. Silver Lake, the global leader in private investments in technology and technology-enabled industries, has a strong track record of assisting management teams to develop their business plans to their fullest potential.”

    Shares of Smart Modular soared more than 12 percent to $9.20 on today’s acquisition news.

    The acquisition is expected to be completed in the third calendar quarter of 2011.

    For more information visit smartm.com

    Please see disclaimer on QualityStocks website: disclaimer.qualitystocks.net
     

    Stocks: SMOD
Back To QualityStocks' Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers

StockTalks

More »
Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.