Microchip Technology Acquires Supertex [Health & Beauty Close - Up]
(Health & Beauty Close - Up Via Acquire Media NewsEdge) Microchip Technology Inc., a provider of microcontroller, mixed- signal, analog and Flash-IP solutions, and Supertex Inc. announced that Microchip has signed a definitive agreement to acquire Supertex for $33 per share in cash, which represents a total equity value of about $394 million, and a total enterprise value of about $246 million, after excluding Supertex's cash and investments on its balance sheet of approximately $148 million.
In a release, the company noted that the acquisition is expected to be accretive to Microchip's non GAAP earnings per share in the first full quarter after completion of the acquisition.
The acquisition has been unanimously approved by the Boards of Directors of each company and is expected to close in the second quarter of calendar 2014, subject to approval by Supertex's stockholders, regulatory approvals and other customary closing conditions.
"We are pleased to have Supertex become part of the Microchip team. Supertex's deep domain knowledge in high voltage analog and mixed signal technologies, and strong position in the Medical, Industrial and Lighting markets, complement many of Microchip initiatives in these areas. We believe that combining Supertex's business with Microchip's Analog business will enable significant synergies and cross selling opportunities," said Steve Sanghi, President and CEO of Microchip Technology.
"We are pleased to join Microchip Technology, a premier company in the semiconductor industry. Microchip has demonstrated consistent profitability, technology leadership and growth in its core businesses. We believe that this acquisition provides the best vehicle for us to realize significant value for Supertex's shareholders, as well as the opportunity to scale up to the much stronger sales and manufacturing platforms of Microchip," said Henry Pao, President and CEO of Supertex.
Microchip Technology Inc. is a provider of microcontroller, mixed- signal, analog and Flash-IP solutions.
Supertex, Inc. is a publicly held mixed signal semiconductor manufacturer, focused on high voltage analog and mixed signal products for use in the medical, LED lighting, display, industrial and telecommunication industries.
((Comments on this story may be sent to email@example.com))
(c) 2014 ProQuest Information and Learning Company; All Rights Reserved.
[ Back To TMCnet.com's Homepage ]