MANHASSET, N.Y. Nonvolatile ferroelectric random access memory supplier Ramtron International Corp. has acquired fabless semiconductor supplier Goal Semiconductor Inc., for $7.6 million in cash and stock.
Ramtron (Colorado Springs, Co.) expects the acquisition of Goal (Montreal, Canada) to help accelerate its product development plans for analog and mixed-signal integrated circuits (ICs) and provide customers with an expanded portfolio of FRAM-enabled data acquisition, signal processing and microcontroller devices.
Under terms of the agreement, Ramtron paid $2.0 million in cash and $5.6 million in Ramtron common stock to acquire all of the outstanding securities of Goal. For the stock portion of the consideration, Ramtron issued 1,950,000 new common shares.
"We believe that our path to revenue and earnings growth will be paved by the execution of an aggressive product development and commercialization plan," said Bill Staunton, Ramtron chief executive, in a statement. "We expect that this acquisition, which is highly complementary to our current product strategy, will give us a five-year jump on our roadmap for integrated and application-specific product launches. As a result, we hope to accelerate the development and delivery of high-margin products targeted at the markets that we serve."
Ramtron plans to sell Goal products in conjunction with its existing product line of nonvolatile FRAM memories and Processor Companions.
As a result of the acquisition, Ramtron now has 107 full-time employees, up from 88. The company does not plan to take any acquisition-related charges the third quarter of 2005.
In a separate announcement, Ramtron announced it is securing a $3-million term loan from Silicon Valley Bank. The company believes it will close the loan during the first half of September.