RF Micro Devices Inc of Greensboro, NC, USA has announced a definitive agreement to acquire Amalfi Semiconductor of Los Gatos, CA, USA (a fabless semiconductor firm specializing in highly integrated CMOS silicon RF and mixed-signal integrated circuits for the entry-level smartphone market) using cash on hand for about $47.5m (net of cash received).
RFMD says it intends to accelerate market adoption of Amalfi’s RF CMOS and mixed-signal ICs by combining Amalfi’s targeted product portfolio and proprietary RF CMOS and mixed-signal expertise with RFMD’s customer relationships, broad product portfolio, in-house manufacturing scale, and global supply chain.
“The acquisition of Amalfi is consistent with RFMD’s strategy of matching the most appropriate process technology to each customer’s performance and cost requirements,” says RFMD’s president & CEO Bob Bruggeworth. “Amalfi’s proprietary RF and mixed-signal expertise in RF CMOS are a great fit for RFMD and a strong addition to our long-term technology strategy. RFMD gives Amalfi the global presence, market credibility, manufacturing scale, and blue-chip customer access to take their business to the next phase of growth,” he adds.
“The addition of Amalfi’s RF CMOS PA technology with RFMD’s market leadership and significant resources is a powerful combination,” believes Amalfi’s CEO & president Mark Foley. “We expect the acquisition will accelerate the delivery of new disruptive RF CMOS power amplifiers to the cost-driven entry-level smartphone market,” he adds.
RFMD expects to achieve immediate product and cost synergies and anticipates that the transaction will be accretive to earnings within two quarters.
