Marvell Technology Group Ltd said it recommended shareholders reject a mini-tender offer by TRC Capital Corp to purchase up to 6 million of the chipmaker's shares. TRC Capital intends to purchase about 1 percent of Marvell at $15 per share. Marvell shares were up 1 percent at $16.01 in premarket trade on Monday, after closing at $15.84 on Friday on the Nasdaq.The offer price was 5 percent below the closing price on March 22, the approximate date of commencement of the offer, Marvell said in a statement.Mini-tender offers are designed to acquire less than 5 percent of a company's outstanding shares, thereby avoiding many disclosure and procedural requirements of the U.S. Securities and Exchange Commission.TRC Capital has made similar offers for publicly traded companies in the past, which have been rebuffed.
Marvell Technology Group Ltd. (Marvell) is a fabless semiconductor provider of application-specific standard products. Shares of MRVL remained unchanged at $15.84. In the past year, the shares have traded as low as $11.23 and as high as $16.86. On average, 12095800 shares of MRVL exchange hands on a given day and today's volume is recorded at 2500.
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