Emulex asks shareholders to turn down Broadcom's offer, solicitation

By Lisa Kerner

Charlotte, N.C., May 26 - Emulex Corp. once again urged its stockholders to reject the unsolicited, non-binding $9.25-per-share tender offer from Broadcom Corp.

Shareholders, in a Tuesday letter from Emulex president and chief executive officer Jim McCluney, were also asked not to consent to Broadcom's related solicitation.

Emulex made a similar plea to its shareholders on May 15.

According to Emulex, the solicitation is aimed at removing the company's entire board of directors and replacing the board with Broadcom's hand-picked nominees.

The new board, said McCluney, will accept "Broadcom's grossly inadequate offer."

McCluney said he believes that Emulex is well positioned to execute its strategy and deliver on its expectations.

Broadcom began its tender offer for Emulex on May 5. The offer is slated to end at midnight ET on June 3.

Broadcom previously announced it is filing suit in the Delaware Court of Chancery against Emulex and its board to declare invalid a portion of section 6.4 of Emulex's recently amended bylaws. In addition, Broadcom will ask the court to prevent Emulex from taking action to impede Broadcom's proposal or its efforts to acquire control of the Costa Mesa, Calif., storage networking company.

Irvine, Calif.-based Broadcom provides semiconductors for wired and wireless communications.

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