ADI Pays $127M for Integrant Technologies
Staff Reporter -- 6/7/2006
Electronic News
Analog Devices Inc. today announced that it has entered into a definitive agreement to acquire privately held Integrant Technologies Inc. in a $127 million cash deal.
The move expands ADI’s RF signal processing portfolio, adding low-power mobile TV tuner technology to the Norwood, Mass.-based company’s reach. Specifically, the Integrant organization will be integrated into ADI's high-speed signal processing organization.
Integrant is best known for the low-power Digital Multimedia Broadcast (DMB) tuners it supplies to mobile phone manufacturers in Korea, the leading region in deployment of mobile TV services. In addition, Integrant ships tuners from the same product family to support the new ISDB-T mobile TV standard in Japan.
"As we've seen in applications from cellular telephony to digital TVs, customers value RF solution providers that support multiple standards and frequencies with compatible families of products,” said John Hussey, ADI’s VP of high-speed signal processing, in a statement. “Integrant's technology provides that same value to the rapidly emerging mobile TV markets, such as T-DMB, ISDB-T and DVB-H, where receivers are being integrated into mobile phones, personal video players, portable DVD players, notebook PCs, and automotive entertainment systems."
Integrant claims more than 100 patents and patent applications worldwide, including extensive intellectual property related to the direct conversion of RF signals to baseband frequencies, an area where ADI has also has considerable IP for analog and digital signal processing.
"The synergies between ADI and Integrant are powerful," said Integrant company founder, Beom-Kyu (Brian) Ko, in the statement. "Together we will have the technology and systems expertise to provide customers with a complete signal chain for multi-standard multimedia applications."
The stock purchase agreement will see ADI take substantially all of the outstanding shares of South Korea-based Integrant. ADI may pay up to an additional $33 million upon the achievement of certain milestones, the company said, noting that both boards have approved the acquisition.
The acquisition of the six-year-old company is expected to close in 60 days and increase ADI's revenue by approximately 1 percent of sales in each of the next few quarters.
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