STATS ChipPAC

STATS ChipPAC: The other one of two named potential suitors- Jiangsu Changjiang Electronics Technology, cited that discussions with STATS ChipPAC are still at a preliminary stage and the likelihood of reaching a definitive agreement within the next three months is low. This follows the termination of prelim talks by the other named suitor yesterday, Tianshui Huatian Technology, which caused the 7% decline in the counter. Following the announcement, counter may potentially retrace back towards the $0.56-$0.65 region, where it was trading at before the potential takeover rumours on the two parties surfaced. At $0.625, the stock is valued at 1.2x P/B, compared to its three-year historical average of 0.75x and Taiwanese peer average of 1.7x.