Seagate and LaCie Declare Unique Contract with Intent for Seagate to Obtain Managing Attention in LaCie
Seagate has Provided to Buy LaCie CEO's 64.5% Possession Position; Seagate to Therefore Continue Soft Provide for Staying Excellent Shares
Seagate Technological innovation plc he globally innovator in hard disks and storage space alternatives, and LaCie S.A. (Euronext: LAC), a leading manufacturer of customer storage space items, these days declared a unique agreement with the intent for Seagate to obtain a controlling curiosity about LaCie. Seagate has accessible to obtain from Philippe Spruch, LaCie's chairman and CEO, and his online, all of their stocks, comprising 64.5% of the outstanding stocks of LaCie. Following invoice of government approvals1 and the near of this deal, Seagate would commence an all-cash simple tender offer (followed as the situation may be by a squeeze-out procedure) to obtain the outstanding stocks using the Common Control of the People from italy Autorité des Marchés Bankers (AMF).
"With the growth of gadgets and articles being distributed and saved these days, customer need for high-quality labeled storage space alternatives is constantly grow"
Seagate has offered Mr. Spruch and his online €4.05 per discuss in money, less a prospective modification depending on the money and debt place of LaCie at ending. This cost may be increased by a possible cost complement of 3% in the event that the tolerance of 95% of the stocks and voting rights of LaCie would be achieved by Seagate within 6 months following ending, leading to a maximum prospective cost per LaCie discuss of €4.17. Without the cost complement, the sale currently values LaCie at an estimated €146 thousand, or $186 thousand total equity value, such as acquired net money of approximately €49 thousand, or $65 thousand, as of April 31, 2012. The €4.05 per stock cost symbolizes a top excellent of 29% to LaCie's average ending stock cost over the 30 trading days ended May 22, 2012.
Ricol Lasteyrie & Associés was hired these days as independent expert by the board of administrators of LaCie, to deliver a equity opinion on the cost that would be given in the viewpoint of the tender offer, such as in the viewpoint of a prospective squeeze-out procedure.
The deal would combine two extremely contrasting item and technology investment stock portfolios, adding LaCie's range of top excellent labeled customer storage space alternatives, network-attached storage space alternatives and application promotions to Seagate's array of popular customer storage space items. The mixture would speed up Seagate's growth strategy in the growing customer storage space industry, particularly in European countries and Japan, and add powerful technological innovation and application growth abilities, as well as relationships with several key suppliers.
The deal is predicted to be impartial to Seagate's financial 2013 earnings per discuss.
Following the near of the sale of his stocks to Seagate, Mr. Spruch would be a part of Seagate and lead the organization's customer storage space items company. Confirming to him would be Meat Connolly, who currently assists as v. p. and gm of Seagate's retail group, as well as Pierre van der Elst, who currently assists as deputy gm of LaCie. The economical terms of the new place of Mr Spruch are not determined as of these days and would therefore be described subsequently, such as in the tender offer certification.
"Seagate has a powerful commitment to the growing customer storage space industry and bringing the most powerful items to promote. LaCie has built an remarkable customer brand by providing exciting and innovative high-end items for many years. This deal would bring a very contrasting set of abilities to Seagate, significantly increase our customer item promotions, add a premium-branded direct-attached storage space range, enhance our network-attached storage space company range and enhance our abilities in application growth," said Bob Luczo, Seagate chairman, chief executive and CEO. "We are also energized that Philippe, who is a true experienced and innovator in the individual storage space company, would be a part of Seagate to run our customer storage space items company."
"With the growth of gadgets and articles being distributed and saved these days, customer need for high-quality labeled storage space alternatives is growing," said Philippe Spruch, LaCie's chairman and CEO. "We are energized about the prospective for this mixture to benefit clients and employees by creating significant scale and opening up new markets. We look forward to making the resources of a much larger company available to our clients around the world."
LaCie will start the information and appointment procedure required by its personnel representative authorities in regards to the pondered deal, according to People from italy law. Upon realization this procedure, Seagate and Mr. Spruch would perform a specified discuss purchase agreement and complete the getting the controlling interest held by Mr. Spruch and his online. This discuss purchase deal is predicted to shut in the third schedule one fourth of 2012 awaiting realization the relevant government reviews. Seagate would then commence a tender offer for the outstanding stocks of LaCie (followed as the situation may be by a squeeze-out procedure), topic to a discounted decision from the AMF. The tender offers are required to be completed in the third schedule one fourth of 2012.
The deal is topic to regulating acceptance in the United States (antitrust filing), Portugal (approval of foreign investments by the Secretary of state for Finance) and other areas (antitrust processing in Germany) and to other routine ending conditions.
Morgan Stanley & Co. LLC provided as economical consultant and Allen & Overy LLP provided as lawful consultant to Seagate in connection with the deal. De Pardieu Brocas Maffei A.A.R.P.I. provided as lawful consultant to LaCie.