Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Starboard Value Further Reduces Stake in Integrated Device Technology, Inc (IDTI)

For the third time in past three months, Jeffrey Smith’s Starboard Value LP reduced its stake in Integrated Device Technology, Inc (NASDAQ:IDTI). According to a recent SEC filing, Starboard Value reduced its position to 7.25 million shares from 8.80 million shares disclosed earlier. The stake currently amasses 4.8% of the company’s stock.

Integrated Device Technology, Inc. (NASDAQ:IDTI)

Last month, Starboard cut its stake in Integrated Device Technology, Inc (NASDAQ:IDTI) to 8.80 million shares from 10.20 million shares held earlier. In January, the fund reduced the position to 10.20 million shares from 11.53 million held at the end of the last year. However, these moves are in accordance with the Trading Plan Agreement signed between Starboard and Credit Suisse Securities. Under the terms of the plan, Starboard Value planned to sell around 3.7 million shares of Integrated Device Technology.

Integrated Device Technology, Inc (NASDAQ:IDTI) is a designer, developer, manufacturer and marketer of semiconductor solutions. The California-based company has a market cap of $1.90 billion. One of the largest shareholders of the company is Stephen V. Raneri’s Lioneye Capital Management, which owned 1.38 million shares of the company at the end of December 2013. Another shareholder is Bill Miller’s Legg Mason Capital Management, which held 942,500 shares at the end of last year.

Recently, a board director at Integrated Device Technology, Inc (NASDAQ:IDTI), Umesh Padval, sold 10,000 shares of the common stock of the company, at a price of $12.76 apiece. Currently, Mr. Padval owns around 39,200 shares.

For the fiscal third quarter ended December 29, 2013, the company reported non-GAAP net income of $25.9 million or $0.17 per share, compared with non-GAAP net income of $9.3 million or $0.06 per share reported in the same period a year ago. On February 26, Integrated Device Technology, Inc (NASDAQ:IDTI) announced that Peter Feld has resigned as a member of the company’s board of directors, effective immediately. Feld, a managing member, portfolio manager and the head of research of Starboard Value, served on the board since June 2012.

Starboard Value was founded by Jeffrey Smith in 2002 via a spin-off from Ramius. The fundamental oriented activist hedge fund focuses on small cap stocks. The most valuable holding in the fund’s equity portfolio is Darden Restaurants Inc. (NYSE:DRI), in which the fund owns 7.25 million shares worth $394.18 million as at the end of the fourth quarter of 2013.

At the end of February, Starboard Value revealed in a filing that it sent an open letter to the shareholders of Darden Restaurants Inc. In the letter, the fund states that it filed the preliminary solicitation statement in furtherance of seeking shareholder support to demand that Darden Restaurants Inc. (NYSE:DRI) call a special shareholders meeting in order to provide them with a democratic forum for expressing their views on the proposed separation or spin-off of the company’s Red Lobster business.

Disclosure: none

Recommended Reading:

Jeffrey Smith Sends Another Letter to Wausau Paper Corp. (WPP)

Jeff Smith Trims Holdings in Integrated Device Technology Inc (IDTI) and Carbon Corporation (CCC)

Insider at Integrated Device Technology (IDTI) Makes A Million-Dollar Purchase Before Stock Price Continues to Escalate

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!