LONDON Microsemi Corp., a manufacturer of analog and mixed-signal ICs, has resumed the buying spree that characterized the company in 2009, and agreed to acquire White Electronic Designs Corp. (Phoenix, Arix.) for a cash offer of $7 per share. The net transaction value is approximately $100 million, net of White Electronic's projected cash balance at closing, Microsemi said.
Microsemi (Irvine, Calif.) said it will finance the acquisition using its cash on hand and there will be no acquisition debt incurred in connection with the transaction.
White Electronic is specialist in ICs and modules for defense and aerospace applications in which it has design, assembly and test integration expertise. The company integrates surface mount technologies, microelectronics, and antitamper technologies in markets where size, weight, and performance create a market advantage.
"The combination of Microsemi's and White Electronic's product portfolios further extends Microsemi's integrated solution offering in the defense and aerospace markets with superior technology and capability," said James Peterson, president and CEO of Microsemi, in a statement. "White Electronic's chip-level hardware solutions delay or obfuscate chip-level attacks and mitigate reverse engineering and IP theft. This antitamper capability is greatly needed today in protecting DoD-critical technologies, and especially helpful in enabling foreign military sales."
Terms of the agreement were unanimously approved by the boards of directors of both Microsemi and White Electronic and no approval of the shareholders of Microsemi is required in connection with the proposed transaction. The deal is expected to close in Microsemi's fiscal third quarter, which ends on June 27, 2010.
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