NEW YORK (AP) — Canadian patent-licensing company Wi-Lan Inc. said Tuesday that it had gotten clearance from U.S. and Canadian antitrust authorities to continue its hostile bid for rival Mosaid Technologies Inc.
Ottawa, Ontario-based Wi-Lan said the Ontario Securities Commission has scheduled a hearing for Oct. 12 at which Wi-Lan will seek to have a poison-pill shareholders rights plan that Mosaid adopted last month annulled. Mosaid adopted the plan to defend itself against what it has called an “inadequate” offer.
Wi-Lan said in August that it was making an all-cash bid for Kanata, Ontario-based Mosaid for 38 Canadian dollars per share, or about CA$480 million. Wi-Lan said it would finance the bid through the issuance of CA$200 million of convertible debt, cash on hand and a CA$110 million bridge loan from bank CIBC.
Mosaid said in late September that shareholders controlling 90.3 percent of shares voted in favor of its poison-pill defense.
On Tuesday, it continued to urge shareholders not to tender shares into the offer and to withdraw any shares that have already been tendered.
Wi-Lan shares fell 27 cents, or 5 percent, to close Tuesday at $5.18 on the Nasdaq, while Mosaid shares gained 12 cents to CA$37.38 on the Toronto Stock Exchange.