EQS-News

u-blox AG: Statement regarding Telit Communications PLC ('Telit')

EQS Group-News: u-blox AG / Key word(s): Corporate Action u-blox AG: Statement regarding Telit Communications PLC ('Telit') 20.11.2020 / 07:30 Press release

Statement regarding Telit Communications PLC ("Telit")
 

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART, IN OR INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION. THIS ANNOUNCEMENT DOES NOT CONSTITUTE A TAKEOVER OFFER OR AN OFFER OF SECURITIES. NO OFFER OR SALE OF SECURITIES MAY OCCUR IN THE UNITED STATES UNLESS THE TRANSACTION HAS BEEN REGISTERED UNDER THE US SECURITIES ACT OF 1933 OR IS EXEMPT FROM REGISTRATION THEREUNDER.
 

THIS ANNOUNCEMENT IS NOT AN ANNOUNCEMENT OF A FIRM INTENTION TO MAKE AN OFFER UNDER RULE 2.7 OF THE CITY CODE ON TAKEOVERS AND MERGERS (THE "CODE") AND THERE CAN BE NO CERTAINTY THAT A FIRM OFFER WILL BE MADE NOR AS TO THE TERMS ON WHICH ANY SUCH OFFER WOULD BE MADE.
 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION
 

For immediate release
 

Thalwil, Switzerland - 20 November 2020 - u-blox Holding AG ("u-blox") (SIX:UBXN,OTC:UBLXF), a global leader in wireless and positioning technologies, notes the recent press speculation and confirms it submitted to the Board of Directors of Telit a non-binding all-share offer valuing Telit at GBP £2.50 per share (the "Possible Offer"). The response of the Board of Telit is still outstanding and there can be no certainty that any transaction will ultimately be forthcoming nor as to the terms on which any such offer would ultimately be made.
 

Whilst discussions are at an early stage and remain subject to due diligence, the Board of u-blox believes that such a combination has a strong strategic rationale and could result in substantial synergies for both organisations.
 

Pursuant to Rule 2.5 of the Code, u-blox reserves the right to:

(i) introduce other forms of consideration and/or to vary the form and/or mix of the consideration described in this announcement; and
(ii) make an offer on less favourable terms:
a. with the recommendation or consent of the Board of Telit;
b. if Telit announces, declares or pays any dividend or any other distribution to shareholders, in which case u-blox will have the right to make an equivalent reduction to the proposed price;