* Group cuts offer to take company private to $7.00/ADS from
* Blackstone cites Pactera's weak results since May proposal
* Pactera shares down 5 pct
Sept 13 China's largest technology outsourcing
company, Pactera Technology International Ltd, said
Blackstone Group LP and the company's management reduced
their offer to take the company private, citing its weakening
The offer of $7 per American depositary share (ADS), worth
about $600 million, was reduced from $7.50 proposed in May.
Pactera shares were down 5 percent at $6.43 in early trading
on Friday on the Nasdaq.
The previous proposal represented a 39 percent premium to
Pactera's stock price at the time, while the latest offer
represents a 33 percent premium.
In a letter to the board, Blackstone said Pactera had cut
its forecast twice since the private equity firm made its
non-binding offer on May 20.
Pactera reported second-quarter results below analysts'
estimates in August due to lower revenue from a major telecom
The company said it was evaluating the offer.
Increased scrutiny of U.S.-listed Chinese companies over
their accounting standards has pulled down their stocks, giving
managements an incentive to tie up with private equity firms to
take their companies private.
Beijing-based Pactera, formed last year through a merger of
HiSoft Technology International Ltd and VanceInfo Technologies
Inc, offers technology outsourcing and consulting services to
companies across the world.