ISS Says Hollysys Shareholders Should Reject Ascendent’s Offer

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Institutional Shareholder Services Inc. advised shareholders in Hollysys Automation Technologies Ltd. to reject a $1.66 billion takeover proposal from private equity firm Ascendent Capital Partners.

The sale process was “relatively short” and appeared to have “included little effort at price maximization,” ISS said in a report. That follows a recommendation from Glass, Lewis & Co. to also vote against the offer on the basis that Hollysys could fetch “potentially materially greater value” from other bidders.