NEWBURY PARK, Calif. -- Semtech, a manufacturer of analog and mixed-signal semiconductors,
completed Wednesday the acquisition of all outstanding shares of Acapella.
British-based Acapella designs and markets complex mixed-signal integrated circuits for fiber optic communications. The company
offers highly integrated solutions designed to ease the transition from copper to fiber-based communications.
Semtech's ICs are designed for complex power management, protection, interface, and communications applications.
Acapella has developed and integrated a proprietary implementation of time-division multiplexing called Ping Pong.
Its fiber optic ICs offer full duplex synchronous communication over single-fiber systems with link lengths up to 25
stability, diverse products, marketing expertise, and worldwide sales channels, coupled with Acapella's strong analog
and digital capabilities and sophisticated design background, will accelerate our entry into the high-speed
communications marketplace," said Jack Poe, president and CEO of Newbury Park, Calif.-based Semtech.
"In particular, Acapella's proprietary fiber-modem technology and products will form the nucleus for our initial entry
into the fast-growing fiber in the local-loop market segment," Poe continued. "Acapella has developed a
strong customer base for its design services Semtech intends to fully support and enhance now and in the
Semtech announced it has exchanged 175,000 shares of its common stock for all outstanding shares of common stock of Acapella. The transaction will be treated as a pooling of interests for accounting purposes. The company said it would take a one-time, pretax charge to earnings in its first quarter of fiscal year 1999 of approximately $255,000 to cover acquisition-related costs.