Larry,
What do you think of this?
Steve
Nov. 25, 1997--OPTi Inc. (NASDAQ
NMS:OPTI) announces that it has signed an agreement to sell its Net Media group to Creative Technology Ltd. for $14,000,000 in cash plus warrants issued to Creative to purchase 200,000 shares of OPTi's common stock at a price of $10/share.
As part of the agreement, Creative will also acquire a license to certain of OPTi's core logic technologies. Also included in the deal is a commitment by OPTi to provide and by Creative to use certain of OPti's backend services including layout design, test services and failure analysis over the next twelve months for work related to the Net Media group, and a buy/sell arrangement for OPTi's universal serial bus controller.
"This agreement provides OPTi an attractive price for its Net Media business as well as for new business opportunities for both its backend services and peripheral product areas," said Jerry Chang, CEO and President.
"This transaction is consistent with OPTi's strategy of striving to maximize shareholder value.
OPTi has participated effectively in the net media area over the past four years and believes
that the market is beginning to consolidate. Finally, OPTi believes the warrants issued to
Creative can help establish a long-term business relationship between the two companies."
Subject to customary terms and conditions, the agreement is expected to close today.
Information set forth herein constitutes and includes forward looking information. The accuracy of such information is subject to a variety of risks and uncertainties, including product mix, the company's ability to obtain or maintain customer designs wins, market
conditions in the personal computer and semiconductor industries, product development schedules and other matters.
OPTi Inc., a leading independent volume supplier of chipsets to the personal computer market, is headquartered in Milpitas, Calif. The company's customers include a number of the major PC manufacturers. OPTi stock is traded on the National Market System under
NASDAQ symbol OPTI.
CONTACT: OPTi Inc.
David Zacarias or Michael Mazzoni, 408/486-8000 |
