E-paper Maker Prime View Ready to Pay More to Buy E Ink Inc.

Taipei, Oct. 6, 2009 (CENS)--S.C. Liu, chairman of electronic-paper maker Prime View International Co., Ltd., recently said his company would pay original shareholders of E-Ink Inc. of the United States 120 million special shares in addition to US$215 million in cash as the price for buying E-Ink.

The two companies originally agreed on the procurement price of US$215 million when they signed the merger deal early this year. But recently, E-Ink's original shareholders requested Prime View to increase pay in consideration of the company's outstanding US$96 million in revenue throughout the first three quarters this year, more than triple the result it had in the comparable period of last year. Also, earnings, in the meantime, have been much fatter than expected.

Due to additional term for the deal, completion of the merger will be put off until December this year instead of the end of this month as originally planned.

Prime View will hold a provisional shareholder conference in November to determine the special-share project. The issuance will need Investment Commission of the Ministry of Economic Affairs' approval. The company is estimated to pay the special shares early next year at earliest.

Institutional investors estimate Prime View will actually pat E-Ink's original shareholders NT$14 billion (US$424 million), with half of the amount raised from the company's shareholders.