|UPDATE: Third Point Amasses Atmel Stake |
SAN FRANCISCO (Dow Jones) - Third Point LLC, run by hedge fund activist Daniel
Loeb, disclosed Thursday it purchased a 7.2% stake in Atmel Corp., a chipmaker
that is restructuring its operations.
In late afternoon trading, Atmel shares rose more than 5% to $5.96.
Third Point's stake equates to 35 million shares of Atmel's common stock,
according to a Securities and Exchange Commission filing. The hedge fund said it
spent $191 million to purchase the stock. It has been an aggressive buyer of the
stock since May.
Loeb is known for sending highly critical letters to corporate management.
Third Point is one of a group of activist hedge funds that take large
positions in companies and try to force changes by proposing new strategies,
negotiating with management, launching proxy battles and even taking control of
In its filing Thursday, Third Point said it has no current plans to do such
things at Atmel (ATML) .
This past May, San Jose, Calif.-based Atmel successfully fended off a proxy
battle waged by the company's former CEO George Perlegos, who sought to remove
the directors who fired him in August 2006. Perlegos had been dismissed for
allegedly misusing company funds to pay for personal airline tickets.
Atmel makes a number of different chips used in cell phones, disk drives, car
alarms, camcorders and other applications. It's run by Steve Laub, a former