OmniVision officially acquired by consortium of investment firms

OmniVision Technologies, Inc. has officially entered into a definitive agreement to be acquired by a consortium composed of Hua Capital Management Co., Ltd., CITIC Capital Holdings Limited, and GoldStone Investment Co., Ltd.,

In August of 2014, OmniVision Technologies, Inc. had announced that its board of directors has received a preliminary non-binding proposal letter from Beijing-based investment management company Hua Capital Management Ltd. The letter was pursuant to which a group of investors led by HCM proposes to acquire all of the outstanding shares of common stock of the company in cash at $29 per share. After reviewing and evaluating the proposal, the consortium has officially acquired OmniVision.

Under the terms of the agreement, OmniVision stockholders will receive $29.75 per share in cash, or a total of approximately $1.9 billion. The agreement was unanimously approved by OmniVision's Board of Directors.

"We are pleased to have reached this agreement, which we believe realizes significant value for our stockholders and offers new opportunities for our employees to develop more innovative solutions for customers." said Shaw Hong, chairman and CEO of OmniVision, who is expected to remain with the company in the same capacity. "Our Board unanimously concluded that partnering with Hua Capital Management, CITIC Capital and GoldStone Investment was the best choice for OmniVision, as this transaction will provide our stockholders with significant and immediate cash value.”

He continued, “Further, Hua Capital Management, CITIC Capital and GoldStone Investment are highly regarded China-based private equity firms with deep experience in the semiconductor industry. With our new partners' knowledge and insight and the added flexibility that we will have as a private company, OmniVision will be able to focus on reaching the next level of growth, which will benefit our employees, customers and business partners."

Yue Liu, a managing director at Hua Capital Management, commented from the other side of the transaction.

"We are excited to partner with OmniVision as they embark on this next phase of growth," said Liu. "The world-class management team and employees of OmniVision have built a global leader in digital imaging that is well-positioned to capitalize on fast growing market opportunities in automotive, security, entertainment, and the Internet-of-Things while continuing to expand their market leadership in mobile phones. We believe our unique industry knowledge and operational expertise can help accelerate OmniVision's presence both in China and globally."

The transaction, which is expected to close in the third or fourth fiscal quarter of fiscal year 2016, is subject to approval by OmniVision stockholders, regulatory approvals, including antitrust review in the U.S. and the People's Republic of China, review and clearance by the Committee on Foreign Investment in the U.S., clearance or approval under applicable Taiwan law, and other customary closing conditions. In order to obtain clearance or approval under applicable Taiwan law, OmniVision will divest certain of its investments in Taiwan, including certain of its interests in a joint venture.

View additional details in thepress release.

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