A special committee of OpenTV's board of directors announced Tuesday that it has rejected the unsolicited proposal by Kudelski SA to acquire all outstanding shares of the interactive TV middleware company, saying the offer was "inadequate."
Kudelski, which owns a 26.7% stake and holds 74.7% of the voting rights in OpenTV, in Feburary offered to buy the rest of OpenTV's shares at $1.35 per share in cash. While that would have been a 35% premium over OpenTV's Feb. 26 closing price of $1.00 per share, the stock has gained value since then, closing Tuesday at $1.74 per share.
OpenTV said the offer was "not in the best interests of the company and its stockholders." The board's special committee reached the conclusion in conjunction with financial advisor UBS Securities.
Switzerland-based Kudelski owns Nagravision, a supplier of conditional-access systems, as well as other digital TV technology firms.