Microchip Technology Inc., a provider of microcontroller, mixed-signal, analog and Flash-IP solutions, will acquire Supertex Inc. for 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. The acquisition 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,” says 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,” says Henry Pao, President and CEO of Supertex.

Microchip Technology is a provider of microcontroller, mixed-signal, analog, and Flash-IP solutions, and is headquartered in Chandler, Ariz.

Supertex is a 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. The company is based in Sunnyvale, Calif.

Release Date: February 10, 2014
Source: Supertex