CDC Corporation (CHINA) announced that it is commencing its previously announced US$5.00 per share all cash tender offer for all outstanding shares of common stock of Onyx Software Corporation (ONXS).
"Our offer to purchase is clearly superior to the $4.80 per share that M2M Holdings has offered to Onyx shareholders under the terms of their definitive merger agreement with Onyx announced on June 6, 2006," said Peter Yip, Executive Vice Chairman and CEO of CDC Corporation. "We will reach out to Onyx's shareholders and, with their support, we look forward to a successful completion of this transaction."
CDC Corporation's tender offer is subject to, among other things, there being validly tendered and not withdrawn a majority of Onyx's outstanding common stock on a fully diluted basis, as well as other customary conditions. The tender offer and withdrawal rights will expire at 12:00 midnight, New York City time, on Tuesday, August 8, 2006, unless extended.
The offer is being made without the prior approval of Onyx's board of directors.
Eric Musser, Executive Vice President, Strategy, of CDC Software added, "We reaffirm our belief in the benefits of a business combination between CDC Corporation and Onyx for all parties involved. This is especially true for the customers of Onyx who will be supported by our substantial global organization that has already proven its value through the success of each of our prior acquisitions, including Pivotal Corporation and Ross Systems, as demonstrated by our customer retention rates, which are among the highest in the industry."