Magnachip Confirms Receipt Of $35/shr Proposal From Cornucopia Investment Partners

(RTTNews) - Magnachip Semiconductor Corp. (MX), the South Korean provider of display and power solutions, confirmed that it has received an unsolicited proposal from Cornucopia Investment Partners on behalf of itself and a group of investors to acquire all of the outstanding shares of Magnachip common stock for $35.00 per share in cash.

The group of investors include financial sponsors led by Mr. Tim Crown, Yango financial holdings, Sino-Rock Investment Management Company Limited and Lombarda China Fund.

In March, Magnachip Semiconductor said that it reached a definitive agreement with two investment vehicles established by private equity fund manager Wise Road Capital Ltd. and certain of its limited partners. As per the terms of the Agreement, Magnachip shareholders would receive $29.00 in cash for each share of Magnachip's common stock they currently hold. The all-cash transaction has an equity value of about $1.4 billion.

Magnachip said Friday that its board will carefully review and consider the proposal from Cornucopia Investment Partners. In light of the Proposal, Magnachip expects to adjourn the special meeting of stockholders scheduled for 8:00 p.m. Eastern time on June 15, 2021 to June 17, 2021.

However, Magnachip's Board has not changed its recommendation that Magnachip stockholders vote "FOR" the proposal to adopt the merger agreement with Wise Road Capital.