New York: Sun Microsystems Inc. would be willing to resume acquisition talks if International Business Machines Corp. (IBM) makes a stronger commitment to complete the purchase, two people familiar with the matter said.
The companies are locked in a stalemate after negotiations fell apart almost two weeks ago, said the people, who declined to be identified because the information is confidential.
There were no discussions as of Wednesday and each company is waiting for the other to make a move, the people said.
Crompton offers buy-back proposal
Mumbai: In a bid to improve its valuations, Crompton Greaves Ltd, the flagship company of Avantha group, has proposed a buy-back of shares equivalent to 25% of the paid-up share capital of the company. The buy-back, if approved by shareholders, will acquire shares worth Rs224.15 crore at a price of no more than Rs170 per Crompton share. The stock on Thursday closed at Rs150.75, down 9.95% from its Wednesday close of Rs167.40. The buy-back announcement came after trading had closed for the day.
“The management feels that the company’s growth and profitability estimates do not justify such low multiples being accorded to the company’s shares, which has resulted in a significant undervaluation of the company,” the company said in a statement.
- Staff writer