Lexmark to increase tender offer price for all outstanding shares of ReadSoft
Lexmark Immediately Counters the Bid of Hyland Software
Lexmark International, Inc. today announced that it will increase its cash tender offer price for all of the outstanding shares of Sweden-based ReadSoft. The revised cash offer is SEK 43.00, a 7.4 percent increase from Lexmark’s original offer of SEK 40.05, for each Class A and Class B share of ReadSoft for a price of approximately $194 million, net of cash acquired.
Lexmark made the decision to increase its tender offer price in response to a competitive offer for ReadSoft shares announced earlier today. Pursuant to the Transaction Agreement, ReadSoft’s Board of Directors has agreed to continue to recommend in favor of Lexmark’s revised tender offer. In addition, ReadSoft’s two largest shareholders continue to support Lexmark’s revised tender offer.
In connection with the increased tender offer price, Lexmark will extend the offer period for ReadSoft shareholders to tender their shares to on or about July 14, 2014. Settlement of the tender offer is expected to occur shortly after the end of the offer period.
Supporting Quotes:
“The increase in our tender offer price reflects Lexmark’s confidence in the combination of ReadSoft and Perceptive Software to support our strategy of building our high value solutions that help our customers manage their unstructured information challenges,” said Paul Rooke, Lexmark chairman and chief executive officer. “We believe that Lexmark is a perfect strategic fit for ReadSoft with the financial resources and global reach to enable ReadSoft to reach its full potential.
“We firmly believe that Lexmark’s revised cash tender offer price is the superior offer and represents the best value to ReadSoft shareholders. Further, we have completed our due diligence, which has confirmed ReadSoft’s strategic fit within Lexmark; we have received necessary regulatory approvals and we are prepared to deliver cash for all of the tendered shares as early as mid-July, two months earlier than the competitive offer,” added Rooke.