Micrel, Incorporated to Acquire Synergy Semiconductor Corporation
SAN JOSE, Calif., Oct. 22 /PRNewswire/ -- Micrel, Incorporated (Nasdaq: MCRL) and Synergy Semiconductor Corporation (Synergy) announced today that they have entered into a definitive merger agreement whereby Micrel will acquire all of the shares of Synergy for approximately $13 million in cash. Synergy, a provider of mixed-signal and digital integrated circuits for the communications, high performance computing and ATE industries, had revenues of $37.4 million in 1997. This transaction is expected to provide Micrel entry into the fast-growing telecommunications and data communications arenas.
Micrel Chairman, Raymond Zinn said, "We have been looking for some time to expand our capabilities in the communications marketplace. We chose to pursue the partnership with Synergy because of their expertise in the SONET, gigabit ethernet and fiber channel arenas. In addition, their design team, customer base, process technology and wafer fabrication facility complement Micrel's strengths in these areas."
John Stockton, President of Synergy said, "We are delighted to become part of Micrel and excited about the prospects of working with its top-notch management team. We feel this transaction is in the best interest of our employees and shareholders as Micrel's strengths in analog design, process technology and strong customer relationships will help proliferate Synergy's product portfolio."
The merger agreement was unanimously approved by the Board of Directors of each company and by the requisite holders of Synergy stock. The merger is expected to be completed in the next two to eight weeks, subject to antitrust clearance and other customary conditions. The merger will be accounted for as a purchase transaction.
Statements in this press release which are not purely historical are forward-looking statements, including any statements regarding beliefs, plans, anticipations, expectations or intentions regarding the future. Forward-looking statements in this release include but are not limited to statements regarding the combination, integration, delivery, and functionality of Micrel's and Synergy's products and markets and technological trends related to their respective markets. All forward-looking statements included in this release are made as of the date hereof, based on information available to Micrel as of the date hereof, and Micrel assumes no obligation to update any forward-looking statement. It is important to note that actual outcomes could differ materially from those in such forward-looking statements. Readers should refer to the risk disclosures outlined in Micrel's Annual Report on Form 10-K for the year ended December 31, 1997 and Micrel's quarterly report on Form 10-Q filed with the SEC.
Micrel Semiconductor designs, manufactures and markets high performance analog power ICs. It is a major supplier of linear devices in IttyBitty(TM) subminiature packages. Micrel's products include low-dropout regulators (LDOs), USB and PCMCIA power controllers, switch mode power supply controllers (SMPS), operational amplifiers and comparators, charge pumps, voltage references, latched drivers and RF devices. Applications for Micrel products include notebook, desktop and palmtop computers, computer peripherals, cellular phones, process controls, telecommunications equipment, consumer electronics, electronic testers, industrial and medical instruments, factory automation and avionics.
Synergy Semiconductor Corporation provides high performance bipolar ICs to leading companies within the networking, telecommunications, computing and ATE/Instrumentation markets. Synergy makes over 200 products including communication transceivers, clock generators, distribution/clock recovery circuits as well as high-speed logic and memory. The company was founded in 1987 and is privately held.
SOURCE Micrel, Incorporated
CO: Micrel, Incorporated; Synergy Semiconductor Corporation
ST: California
IN: CPR TLS
SU: TNM
10/22/98 09:57 EDT prnewswire.com |
