Microsemi all-in for Ethernet and communications technologies in acquisition of Vitesse
ALISO VIEJO, Calif., 19 March 2015. Executives of Microsemi Corp. in Aliso Viejo, Calif., are boosting their company's expertise in communications electronics and Ethernet with their acquisition of Vitesse Semiconductor Corp. in Camarillo, Calif.
Leaders of the two companies announced they have entered into a definitive agreement Wednesday for Microsemi to acquire Vitesse for about $389 million in cash, or $5.28 per share.
Vitesse is a fabless semiconductor company focused on next-generation Ethernet networking technologies that supplies high-performance IC solutions for next-generation carrier, enterprise, and Internet of things (IoT) networks.
Microsemi offers semiconductors and systems for communications, defense and security, aerospace, and industrial applications. Products include high-performance and radiation-hardened analog mixed-signal integrated circuits, field-programmable gate arrays (FPGAs), systems on chip (SoCs) and application-specific integrated circuits (ASICs).
Microsemi officials say they expect the deal to close before the end of June.
"This acquisition is further evidence of Microsemi's continuing commitment to grow as a communications semiconductor company," says James J. Peterson, Microsemi chairman and CEO. "Vitesse's complementary technology suite will expand our product offering and accelerate growth with differentiated technology in emerging markets."
Among the cornerstones of the deal is giving Microsemi access to Vitesse-developed Ethernet technology. "I believe Microsemi will be able to capitalize on Vitesse's Ethernet technology and capabilities further into the communications market and has the scale to implement the adoption of our industrial IoT strategy," says Vitesse CEO Chris Gardner.