“We are pleased PMC has accepted our offer,” said James Peterson, Microsemi's chairman and CEO. “We can now shift our focus to realising the significant synergies identified during our comprehensive analysis. This acquisition will provide Microsemi with a leading position in high performance and scalable storage solutions, while also adding a complementary portfolio of high value communications products.”
Initially, Skyworks had offered $2bn in cash for PMC-Sierra and saw the deal as enhancing its position as a ‘diversified analogue, RF and mixed signal semiconductor provider’.
Microsemi countered this with an offer which valued PMC-Sierra at $2.4bn, which it then revised at the end of October 2015. Skyworks responded, but Microsemi has clinched the deal. Skyworks will receive an $88.5 million termination fee from PMC-Sierra.
