Vimicro Announces 2.2 Million ADS-Repurchase Transaction
BEIJING, May 4, 2012 /PRNewswire-Asia-FirstCall/ -- Vimicro International Corporation (NASDAQ: VIMC) ("Vimicro" or the "Company"), a leading multimedia semiconductor and IP-based surveillance solution provider, today announced the completion of a block share-repurchase transaction. In the transaction, the Company repurchased 2.2 million ADSs from a shareholder for a total transaction value of $2.75 million, or $1.25 per ADS.
"We continue to believe that the current market price undervalues our stock and we welcome the opportunity to repurchase our shares in order to benefit the long-term interests of our Company and its shareholders. We will continue to repurchase shares under our $25 million repurchase program as practicable, in consideration of both current market conditions and our cash needs," commented Vimicro's Chairman and CEO, Dr. John Deng.
About Vimicro International Corporation
Vimicro International Corporation is a leading multimedia semiconductor and solution provider that designs, develops and markets mixed-signal semiconductor products and system-level solutions that enable multimedia capabilities in a variety of products for the consumer electronics and communications markets. Vimicro is also expanding business into the surveillance market with system-level solutions and semiconductor products. Vimicro's ADSs, each of which represents four ordinary shares, are currently trading on the NASDAQ Global Market under the ticker symbol "VIMC."
This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "confident" and similar statements. Among other things, the quotations from management in this announcement, as well as Vimicro's expectations and forecasts, contain forward-looking statements. Vimicro may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission on forms 20-F and 6-K, etc., in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about Vimicro's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: the company's ability to develop and sell new mobile multimedia products; the expected growth of the mobile multimedia market; the company's ability to increase sales of notebook camera multimedia processors; the company's ability to retain existing customers and acquire new customers and respond to competitive market conditions; the company's ability to respond in a timely manner to the evolving multimedia market and changing consumer preferences and industry standards and to stay abreast of technological changes; the company's ability to secure sufficient foundry capacity in a timely manner; the company's ability to effectively protect its intellectual property and the risk that it may infringe on the intellectual property of others; and cyclicality of the semiconductor industry. Further information regarding these and other risks is included in Vimicro's annual report on Form 20-F filed with the Securities and Exchange Commission. Vimicro does not undertake any obligation to update any forward-looking statement, except as required under applicable law. All information provided in this press release is as of the date hereof, and Vimicro undertakes no duty to update such information, except as required under applicable law.
CONTACT: Company Contact: Vimicro International Corporation: Mr. Richard Wu, CFO, +86-10-6894-8888 x8811, firstname.lastname@example.org; Ms. Anita Zhang, IR Associate Manager, +86-10-6894-8888 x7401; email@example.com; Investor Contact: CCG Investor Relations: Mr. John Harmon, CFA, Sr. Account Manager, +86-10-8573-1014 (Beijing), firstname.lastname@example.org; Mr. Roger Ellis, Senior Partner & SVP for M.I., +1-310-954-1332 (Los Angeles), email@example.com