Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : VLSI Technology - Waiting for good news from NASDAQ !!! -- Ignore unavailable to you. Want to Upgrade?

To: Ram Seetharaman who wrote (5985)	3/26/1999 10:57:00 AM
From: Bonzo	Respond to of 6565

Philips' Spokesman Cohen on Potential Talks With VLSI: Comment Amsterdam, March 26 (Bloomberg) -- Jeremy Cohen, a spokesman for Royal Philips Electronics NV, comments on Europe's largest chipmaker's possible negotiations with VLSI Technology Inc. on Philips' $17-a-share bid for the U.S. chipmaker. Bankers and lawyers from the two sides are currently working out the terms under which the two companies will talk. ''The parties are discussing the terms for the talks, including the confidentiality agreement etc.,'' Cohen said. ''Once they've agreed on those points, they'll be able to talk.'' Cohen said no timetable for the negotiations has been set. The current talks between bankers and lawyers for the two companies include requests by Philips to look at certain aspects of VLSI's business, including its financial records. ''Obviously if we sit down together, we have to do due diligence so we can justify to VLSI through their own books why we feel that $17 is the right price. Due diligence also gives them the opportunity to say why they feel it's worth more than $17. That's just part of the process of these kind of discussions where each party sees where the value lies.'' Cohen declined to say when an agreement on the terms is likely to be reached. ''We've said all along that we are ready to move. Once we've agreed, we can have a party there in a matter of hours -- the time it takes to get from Amsterdam to the West Coast. We have a team on standby.'' Cohen also declined to say precisely what aspects of VLSI's business Philips is asking to see. ''Part of the discussion process is over the due diligence and what the terms would be. What we would actually see in the end isn't clear. ''We did a lot of our own research, and made the bid under the feeling that we had enough information. They will have the opportunity to say where added value is that Philips hasn't seen. 04:54:58 03/26/1999 For more stories from Bloomberg News, click here. (C) Copyright 1999 Bloomberg L.P.