Emulex board says no thanks to Broadcom's $11-per-share offer

By Lisa Kerner

Charlotte, N.C., July 9 - Emulex Corp. said its board of directors unanimously rejected the revised offer from Broadcom Corp. to acquire the company for $11.00 per share in cash.

According to the Emulex, Broadcom's offer "significantly undervalues Emulex's long-term prospects, is inadequate, and is not in the best interests of Emulex and its stockholders."

Emulex shareholders were urged not to tender their shares in Broadcom's offer, which ends Tuesday.

"We unanimously believe Emulex will deliver significantly more value than Broadcom's revised offer through the company's rapidly developing converged networking business and solid execution in our host server and embedded storage markets," Emulex executive chairman Paul Folino said in a company news release.

As previously reported, Broadcom had increased its offer for the Costa Mesa, Calif., storage networking company to $11.00 per share from $9.25 and extended its offer twice since June 17.

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

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