PLX Technology: After-Hours Trading
NEW YORK (TheStreet) -- Shares of PLX Technology(PLXT) soared in late trades on Monday after the company agreed to be acquired by Integrated Device Technology(IDTI) for $330 million in cash and stock.
The deal values PLX at $7 per share, based on Friday's closing price for Integrated Device shares at $6.67. The transaction calls for a swap of $3.50 a share in cash and 0.525 of an Integrated Device share for each PLX share. PLX's stock closed Monday's regular session at $3.98.
The companies expect the deal to close as early as the second calendar quarter of 2012. The terms allow PLX to "solicit superior proposals from third parties for a 'go shop' period of 30 calendar days" running through May 30.
PLX shares were last quoted at $6.79, up 71%, on volume of more than 250,000, according to Nasdaq.com. Integrated Device's stock was off nearly 6% to $6.39 with more than 240,000 shares changing hands.
"This proposed transaction will enable our stockholders to realize significant value today and benefit from the many growth and cost reduction opportunities of the combined company," said Ralph Schmitt, the president and CEO of PLX. "We expect that a transaction with IDT will enhance PLX's commitment to its customers to deliver innovative technologies that meet their needs and demands."
Shares of other chip capital technology companies were getting a lift in the extended session on the news, including MIPS Technologies(MIPS) , adding 5.2% to $6.88 on volume of more than 80,000; and Veeco Instruments(VECO) , rising 14.3% to $34.50 on volume of nearly 216,000.
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