On Monday, Affymetrix announced that Origin's takeover proposal was not a "superior proposal" compared to Thermo Fisher Scientific's (TMO) $1.3 billion takeover offer earlier this year. Origin is a company owned by former Affymetrix executives.
Origin's offer included several risks, Affymetrix said.
Origin withdrew its offer due to "unreasonable demands" by Affymetrix, the company said in a statement.
"We are disappointed that Affymetrix has chosen not to pursue our compelling proposal despite our efforts to work in good faith toward a definitive agreement," Wei Zhou, president of Origin, said in a statement on Monday. "We disagree with Affymetrix' assessment of the perceived risks of our proposal. It is an unfortunate outcome."
Based in Santa Clara, CA, Affymetrix is a provider of life science products and molecular diagnostic products.
Separately, recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
TheStreet Ratings rates this stock as a "hold" with a ratings score of C. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income and weak operating cash flow.
You can view the full analysis from the report here: AFFX