STATS ChipPAC sees resignations of 5 board members

By Colleen Taylor, Contributing Editor -- Electronic News, 8/24/2007

Singapore-based test and packaging services provider STATS ChipPAC Ltd. today announced the resignations of five members of its board of directors.  

Without providing further detail, the company said that the resignations are effective as of today. Lim Ming Seong; Steven H. Hamblin; Richard J. Agnich; Park Chong Sup; and Robert W. Conn were named as departing from their posts at the company.

The recent months have been particularly tumultuous for the company, which has been the target of several takeover attempts of late. In March, Singaporean investment firm Temasek Holdings Ltd. launched an offer worth some $1.6 billion for the remaining shares in STATS ChipPAC that Temasek's holding company, STS, did not already own. At that time, STS owned a 35.6 percent stake in the company. The firm came short of a total takeover, however. By mid-May, Temasek and STS had garnered a majority stake of 83.1 percent of the company, less than the 90 percent stake it needed to take STATS ChipPAC completely private by delisting it from the Singapore Exchange and the Nasdaq.

The discord seems to have spilled over into its sales side, as well: In July, STATS ChipPAC announced disappointing Q2 financial results that it chalked up to "weak demand from certain large customers." The company's Q2 sales declined 11.5 percent year-over-year, while its profit fell a whopping 58.8 percent. 

When reached by Electronic News, STATS ChipPAC had no comment on the board resignations.