SAN FRANCISCOPrivate equity firm Tiberius Capital II LLC has commenced a tender offer to acquire controlling interest in MathStar Inc., the programmable logic vendor that ceased operations last year, the firm said Monday (June 1).
Tiberius Capital (Chicago) said it commenced a cash tender offer to acquire 51 percent of the outstanding shares of MathStar for $1.15 per share. The total value of the offer to acquire 4.7 million shares of MathStar is about $5.8 million.
Last May, Mathstar decided to wind down its operations after failing to find a buyer.
PureChoice Inc., a Minnesota-based software company, has made three bids to acquire MathStar, most recently last month for $1.04 per share in cash. A PureChoice executive said at that time that MathStar had been unresponsive.
In a regulatory filing dated May 18, MathStar said it rejected the latest PureChoice offer because "among other reasons, the $1.04 per share price is less than the liquidation value" of the company. The
Minneapolis-St. Paul Business Journal reported that a Dallas-based investor said the company accepted his request to hold a vote on liquidation, but has not yet called a meeting.
Tiberius Capital said Monday's offer represents a 6.48 percent premium over the closing price of MathStar's common stock as of May 29 and a 36.9 percent premium over the closing price of the shares as of May 8. The offer is scheduled to expire June 30.