increased its unsolicited takeover offer for Philippine rival
The Makati City, Philippines-based call center operator says it will offer PeopleSupport $17 a share, an increase over the $15-a-share bid it made in November. PeopleSupport rejected that offer on Dec. 12.
"We understand that the Company felt that ... a purchase price of $15.00 per share was 'inadequate and was not the best way to enhance shareholder value,'" IPVG said in a letter on its Web site.
A PeopleSupport representative declined to comment on the new offer.
IPVG enlisted AO Capital Partners as its financial backer and adviser on the
original bid for Los Angeles-based PeopleSupport, which has most of its call center operations in the Philippines.
The news follows a
letter last month from the Galleon Group, a New York hedge fund with a 24% stake in PeopleSupport. The letter urged PeopleSupport CEO Lance Rosenzweig to consider a $15-a-share buyout offer and drop its so-called poison pill provision.
Galleon founder Raj Rajarutnam offered his firm's support in what he hopes becomes an auction process that would bring in the highest price possible for the shareholders, according to the letter.
PeopleSupport shares rose 31 cents to $13.73 Friday.