Software developer Net Perceptions Inc. has rejected an offer for all shares of its outstanding stock from Obsidian Enterprise Inc. and has decided to liquidate.
The firm’s financial advisor, Candlewood Partners LLC, told the board on Tuesday that Obsidian’s takeover offer was inadequate because shareholders stood to earn more—up to .45 cents per share—in a liquidation.
In contrast, Obsidian’s offer reportedly was .40 cents per share.
Moreover, the Obsidian shares being offered in return suffer from a small trading volume, making them harder to sell, Candlewood reported.
In a related development, Net Perceptions has agreed to sell its patent portfolio to Thalveg Data Flow LLC for $1.8 million.
Net Perceptions, Minneapolis, develops software for online retailers.
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