InFocus to be Acquired by IHC

[lcaillo]

Published: 04/13/2009 04:42:41 PM UTC in Appointments & Business
http://www.marketnews.ca/LatestNewsHeadlines/InFocustobeAcquiredbyIHC.html


Digital projection company InFocus Corp. has entered into a definitive merger agreement with Image Holdings Corp. (IHC), owned by 20-year industry veteran John Hui.

According to the agreement, IHC and its subsidiary IC Acquisition Corp. (IC) will make an all-cash tender offer for approximately US$39 million in total, or US0.95 per share for all outstanding shares of InFocus stock.

InFocus' Board of Directors unanimously recommends the acceptance of the offer. Should the offer be accepted, InFocus would become a wholly-owned subsidiary of IHC. The acquisition is expected to close in the second quarter of this year.

"After an extensive review of strategic alternatives with InFocus management and our financial advisors, we determined this all cash sale of InFocus to IHC provides the best value for InFocus shareholders," says Michael Hallman, the lead independent member of the InFocus Board of Directors.

"In addition to delivering compelling value to our shareholders, the partnership with IHC also creates clear benefits for InFocus customers, suppliers and employees," adds Bob O'Malley, President and CEO of InFocus. "John Hui understands the technology industry and will assist InFocus in the execution of its strategy. Operating as a privately-held company is expected to reduce our costs and facilitate our ability to focus on longer-term priorities."

Hui, who was co-Founder of eMachines, a US$1 billion computer company that was sold to Gateway, Inc., has more than two decades of experience in the technology, computer and computer-related industries. He says he associates "significant value with the InFocus brand and with the company's extensive network of channel partners" and looks forward to helping the company return to "a dominant position in the industry."