Microtune Inc. (Nasdaq: TUNE) shareholders will meet tomorrow in Texas to approve the acquisition of the company by Zoran Corp. (Nasdaq: ZRAN) for $166 million.
After the companies announced the deal in September, a group of Microtune shareholders organized to sue against the sale, claiming that the company's board of directors was in breach of its fiduciary duty because it did not conduct a more thorough process before deciding on the deal. Microtune subsequently reached a draft settlement with these shareholders.
A joint presentation by the two companies outlined the vision underpinning the merger: to become a leader in integrative solutions for home entertainment systems (TVs, DVDs, set-top boxes, etc.). Zoran recently announced a restructuring, with a focus on its operating costs structure.
Zoran, run by president and CEO Dr. Levy Gerzberg, rose 0.9% in early trading today to $6.96, giving a market cap of $342 million.
Published by Globes [online], Israel business news - www.globes-online.com - on November 18, 2010
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