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Allegro Stock Jumps as Chip Maker Rejects Onsemi's $35.10 Per Share Bid

1. Allegro Microsystems rejected Onsemi's $35.10 per share buyout offer. 2. Onsemi's proposal is seen as inadequate by Allegro's management. 3. Onsemi's shares fell about 5% following Allegro's rejection. 4. Allegro shares rose nearly 8% after the rejection announcement. 5. Onsemi recently reported disappointing financial results amid tough conditions.

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FAQ

Why Bullish?

Allegro's rejection signals strong market confidence and strategic positioning. Past mergers in tech often lead to share price increases for the target companies.

How important is it?

The article highlights Allegro’s strategic response to acquisition offers, crucial for stock holders.

Why Short Term?

Immediate market reaction with Allegro shares rising indicates current investor sentiment. However, the long-term effects depend on future bids or strategic decisions.

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