What is the Hart-Scott-Rodino (HSR) Act and why is its early termination important for Teradyne?

The HSR Act is a federal antitrust statute that requires parties to certain mergers and acquisitions to notify the Federal Trade Commission (FTC) and the Department of Justice (DOJ) before completing the transaction. The early termination granted by the FTC on September 26, 2011, means that the required waiting period for antitrust review has concluded, and regulators have not identified any issues that would prevent the merger with LitePoint from proceeding. This is important because it clears a significant regulatory hurdle and moves Teradyne closer to completing the acquisition.

What does the early termination of the HSR waiting period imply for the Teradyne-LitePoint merger?

The early termination of the HSR waiting period is a strong positive indicator that the merger between Teradyne and LitePoint is on track to be completed. It suggests that the antitrust review process has been successfully navigated without objections from the FTC. This reduces uncertainty for investors and signals that the transaction is likely to close as planned, subject to any other remaining closing conditions.

Does this 8-K filing mean the merger with LitePoint has officially closed?

No, this 8-K filing does not confirm the official closing of the merger. It only reports the early termination of the HSR waiting period, which is a regulatory approval necessary for the closing. The merger may still be subject to other closing conditions outlined in the merger agreement, and the actual closing will be announced separately.

TER 8-K SEC Disclosure — Sep 27, 2011

Summary

Teradyne, Inc. (TER) filed an 8-K on September 27, 2011, to report a significant regulatory milestone in its previously announced merger agreement with LitePoint Corporation. The filing indicates that the Federal Trade Commission (FTC) granted early termination of the waiting period under the Hart-Scott-Rodino (HSR) Antitrust Improvements Act of 1976 on September 26, 2011. This early termination signifies that regulatory antitrust review by the FTC has been completed and no further objections were raised regarding the proposed acquisition. This is a crucial step that removes a major hurdle for the transaction and signals progress towards the closing of the merger. Investors should view this as a positive development, as it reduces the uncertainty surrounding the completion of the LitePoint acquisition.

Key Highlights

1Teradyne announced the early termination of the Hart-Scott-Rodino (HSR) waiting period by the Federal Trade Commission (FTC) on September 26, 2011.
2This early termination relates to the previously announced merger agreement between Teradyne and LitePoint Corporation.
3The HSR Act clearance is a key regulatory approval required for the completion of the merger.
4The FTC's decision indicates that the proposed acquisition of LitePoint does not raise antitrust concerns.
5This development removes a significant regulatory obstacle for the merger.
6The early termination of the HSR waiting period is a positive step towards the closing of the LitePoint acquisition.

TERADYNE, INC 8-K Report, Corporate Update (Sep 27, 2011)

Summary

Key Highlights

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