BEIJING, Dec. 18, 2013 /PRNewswire/ -- Vimicro
International Corporation (NASDAQ: VIMC) ("Vimicro" or the
"Company"), a leading video processing IC and surveillance solution
provider, today announced that it has entered into a purchase and
sale agreement (the "Agreement") with General Atlantic investment
funds ("General Atlantic") to repurchase ordinary shares and ADSs
(the "Securities") held by General Atlantic. The Securities
owned by General Atlantic represent 19.6% of the Company's
outstanding shares as of the date of the Agreement.
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The Company agreed to repurchase an aggregate of 18,531,786
ordinary shares at a price of US $0.4925 per share and 1,000,934 ADSs at a price
of US $1.97 per ADS held by General
Atlantic pursuant to the Agreement. The total consideration for the
transaction is approximately US$11.1
million, which will be funded from the Company's working
capital. The ADSs and ordinary shares subject to the Agreement
represent the entire equity interest held by General Atlantic in
the Company as of the date of the Agreement. The transaction is
comprised of two tranches, with the first tranche closing on the
date of the Agreement and the second tranche closing no later than
January 31, 2014. The prices of the
ordinary shares and ADSs for the second tranche may be subject to
adjustment if the closing occurs after January 15, 2014.
About Vimicro International Corporation
Vimicro International Corporation is a leading video processing
IC and surveillance solution provider that designs, develops and
markets mixed-signal semiconductor products and system-level
solutions that enable multimedia capabilities in a variety of
products for PC/notebook, consumer electronics and surveillance
applications. Vimicro has aggressively entered the surveillance
market with system-level solutions and semiconductor products to
capitalize on China's domestic
demand. Vimicro's ADSs each represent four ordinary shares and are
traded on the NASDAQ Global Market exchange under the ticker symbol
"VIMC."
Forward-Looking Statements
This announcement contains forward-looking statements. These
statements are made under the "safe harbor" provisions of the U.S.
Private Securities Litigation Reform Act of 1995. These
forward-looking statements can be identified by terminology such as
"will," "expects," "anticipates," "future," "intends," "plans,"
"believes," "estimates," "confident" and similar statements. Among
other things, the quotations from management in this announcement,
as well as Vimicro's expectations and forecasts, contain
forward-looking statements. Vimicro may also make written or oral
forward-looking statements in its periodic reports to the U.S.
Securities and Exchange Commission on forms 20-F and 6-K, etc., in
its annual report to shareholders, in press releases and other
written materials and in oral statements made by its officers,
directors or employees to third parties. Statements that are not
historical facts, including statements about Vimicro's beliefs and
expectations, are forward-looking statements. Forward-looking
statements involve inherent risks and uncertainties. A number of
factors could cause actual results to differ materially from those
contained in any forward-looking statement, including but not
limited to the following: the Company's ability to develop and sell
new mobile multimedia products; the expected growth of the mobile
multimedia market; the Company's ability to increase sales of
notebook camera multimedia processors; the Company's ability to
retain existing customers and acquire new customers and respond to
competitive market conditions; the Company's ability to respond in
a timely manner to the evolving multimedia market and changing
consumer preferences and industry standards and to stay abreast of
technological changes; the Company's ability to secure sufficient
foundry capacity in a timely manner; the company's ability to
effectively protect its intellectual property and the risk that it
may infringe on the intellectual property of others; and
cyclicality of the semiconductor industry. Further information
regarding these and other risks is included in Vimicro's annual
report on Form 20-F filed with the Securities and Exchange
Commission. Vimicro does not undertake any obligation to update any
forward-looking statement, except as required under applicable law.
All information provided in this press release is as of the date
hereof, and Vimicro undertakes no duty to update such information,
except as required under applicable law.
SOURCE Vimicro International Corporation