said an investor group headed by its chief executive officer has offered to buy out the remaining shares of the company for 65 cents per share, or about $20.3 million.
The Austin, Texas, Internet infrastructure company said the investor group headed by John McHale owns 31,205,185 shares, or about 52% of Netpliance's common stock. The cash deal for 65 cents a share represents a premium from the stock's closing share price of 34 cents on the
Shares of Netpliance lately escalated 13 cents, or 36.36%, to 50 cents in afternoon trading.
The company said it expects other stockholders will be joining the investor group. Netpliance said the investor group requested "an opportunity to discuss a possible tender offer and merger transaction" for the remaining outstanding shares not owned by the group.
Netpliance's board of directors will form a special committee of independent directors to consider the proposal.