Vishay drops bid for International Rectifier

MALVERN, PA. —  Chip maker Vishay Intertechnology Inc. said Monday that it had dropped its offer to buy El Segundo-based International Rectifier Corp.’s outstanding shares for $23 apiece.

Vishay shares shot up $1.01, or 23%, to $5.40. International Rectifier shares also rose, gaining $1.49, or 10.7%, to $15.46.

Malvern, Pa.-based Vishay said in a statement that it couldn’t continue with its bid to buy the company “in the face of opposition from a board of directors that has refused to engage in any discussion with us regarding our offer.”

Last month, Vishay began a tender offer to buy International Rectifier for about $1.7 billion. The suitor said it would return tendered shares to their holders.

In a statement Monday, International Rectifier said its full slate of board members was elected at its annual meeting Friday. Chairman Richard J. Dahl said the board and management “are pleased with the support and input we received from our shareholders.”