GTI Corporation is asking stockholders for a week’s delay to enable it to try and resolve problems surrounding its proposed $33.8m acquisition by Technitrol Inc, the Philadelphia-based diversified manufacturing company. A special meeting of GTI stockholders today – called to approve the takeover – will be asked to adjourn for a week. Technitrol wants to pull out of the deal and claims there has been a breach of the merger agreement while GTI says that even if a breach has occurred it is ‘susceptible of cure’ quickly and Technitrol has no right to terminate the agreement. GTI which makes components for networking products, has recorded a $3.7m second quarter loss since the deal was agreed, though Technitrol denies that this is the reason it wants to pull out of the deal. GTI says it is still in discussions with Technitrol over the take-over and hopes to finalize discussions in time for next weekÆs meeting.
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