ATI Responds to 'Mini-Tender' Offer

[Hanners]

I'm pretty clueless when it comes to stock market, so can anyone clue me/us in on what this is all about and what TRC are trying to achieve?

ATI Technologies Inc. (TSX:ATY)(NASDAQ:ATYT) announced today that it had received notification that on August 17, 2005, TRC Capital Corporation commenced an unsolicited, below-market "mini-tender" offer to purchase up to 3,000,000 common shares of ATI, or approximately 1.19% per cent of ATI's outstanding common shares, at a price of CDN$13.65 per common share.

ATI wishes to inform its common shareholders that it does not in any way recommend or endorse the TRC Capital Corporation offer and that ATI is in no way associated with TRC Capital Corporation, the offer or the offer documentation. ATI expresses no opinion regarding this offer.

ATI cautions its common shareholders that the offer is being made at a 3.87% discount to the closing price of CDN$14.20 per common share on the Toronto Stock Exchange (the "TSX") and US$11.80 on the NASDAQ National Market (the "NASDAQ") on August 16, 2005, the last trading day before the offer commenced, and is below yesterday's closing price of CDN$14.43 on the TSX and US$11.86 on the NASDAQ.

Here's the full press release.

 

[Cartoon Corpse]

someone trying to start a fire sale?

 

[gsgrunt]

Uttar PMed digitalwanderer that it was time to buy?

 

[Unknown Soldier]

That's funny, I see it's sitting at $11.50 atm.

http://apps.ati.com/ir/quote.asp

 

[Valzic]

Except the press release is in Canadian funds -- and that is US dollars...

So it is less than current Canadaian price of $13.97

 

[ben6]

To be fair, ATI is currently trading at 13.99 a share CDN. Not endorsing it by any means, but it's getting there.... Class action law suit announced today ..

 

[Arun]

Class action law suit announced today ..

Link, please?

Uttar

 

[Rys]

Certainly, sir.

 

[Farid]

Certainly, sir.

id Software, Inc.'s game published in 1993, programming by John Carmack, Michael Abrash, John Romero, David Taylor.

 

[Dave Baumann]

Certainly, sir.

No, no, no, that was Friday's suit, you missed Thursdays!

 

[Farid]

...

No, no, no, that was Friday's suit, you missed Thursdays!

Man...

Description

Not so long after "Wolfenstein 3-D" changed the world, ID Software made another game of that kind. Only this time, you won't just have a pistol, knife and a couple of machine guns, but much more powerful weapons like a rocket launcher, shotgun, and even a chainsaw if you're a blood-thirsty opponent. The reason for the new weapon arsenal is that you deal with non-humans this time. Whatever seems strange to you, just shoot at it, fire at will, 'cuz you are hard to find any friend in here. You're left to your own destiny, which ultimately can be changed if you're not too affraid to step into this realm of dark beings and tomato-like monsters.

Design:
Shawn C. Green, Sandy Petersen, John Romero,

Programming:
Michael Abrash, John Carmack, John Romero, David Taylor,

Graphics / Artwork:
Adrian Carmack, Kevin Cloud,

Music:
Robert Prince,

Sound:
Paul Radek,

Special Thanks To:
Martin Kolodziej,

 

[Rys]

Man...

Description

Not so long after "Wolfenstein 3-D" changed the world, ID Software made another game of that kind. Only this time, you won't just have a pistol, knife and a couple of machine guns, but much more powerful weapons like a rocket launcher, shotgun, and even a chainsaw if you're a blood-thirsty opponent. The reason for the new weapon arsenal is that you deal with non-humans this time. Whatever seems strange to you, just shoot at it, fire at will, 'cuz you are hard to find any friend in here. You're left to your own destiny, which ultimately can be changed if you're not too affraid to step into this realm of dark beings and tomato-like monsters.

Design:
Shawn C. Green, Sandy Petersen, John Romero,

Programming:
Michael Abrash, John Carmack, John Romero, David Taylor,

Graphics / Artwork:
Adrian Carmack, Kevin Cloud,

Music:
Robert Prince,

Sound:
Paul Radek,

Special Thanks To:
Martin Kolodziej,

Am I alone in issuing a hearty eh?

 

[tEd]

No, no, no, that was Friday's suit, you missed Thursdays!

there was an insult in there

 

[Farid]

Am I alone in issuing a hearty eh?

Calling doom on Ati is cliché... That's why i'm trying to innovate a little, you know...

 

[thegrommit]

I'm pretty clueless when it comes to stock market, so can anyone clue me/us in on what this is all about and what TRC are trying to achieve?

All you had to do was follow the links:

http://www.osc.gov.on.ca/Investor/Alert/ia_20040518_mini-tenders.jsp

TRC presumably expect ATI's stock price to rise significantly, at which point they can sell at a profit. They are counting on some shareholders being worried about a further fall in the stock price.