"Silicon Labs and Energy Micro share a complementary vision of a
greener, smarter, wirelessly connected world, and the foundation for
this combined vision is ultra-low-power technology enabled by each
company's innovative mixed-signal design," said Tyson Tuttle, president
and CEO of Silicon Labs. "This acquisition combines two proven leaders
in nano-power MCU and wireless SoC design into a formidable force that
will accelerate the deployment of energy-friendly solutions across the
Internet of Things and smart energy industries."
Micro team is excited to join Silicon Labs,” said Geir Forre, president
and CEO of Energy Micro, who after the closing, is expected to become
vice president and general manager of Silicon Lab's microcontroller and
radio business unit, based in Oslo. "Silicon Labs' excellent resources
and technology will help the combined company develop new products and
gain market share more quickly."
Silicon Labs said the
acquisition is being funded from balance sheet cash resources and will
require no borrowing. Energy Micro is expected to contribute
approximately $7 million in revenue in the second half of 2013. The
boards of each company have approved the acquisition, which awaits the
satisfaction of customary closing conditions. The deal is expected to
close before the end of July and additional financial details and
guidance will be provided in the Silicon Labs' second quarter earnings
call planned for July 25, 2013.
Besides Foore the co-founders of
Energy Micro include Oyvind Janbu, who served as CTO, Erik Jorgensen,
who served as vice president of engineering and John Fjellheim, who
served in sales.
Soon after the sale of Chipcon to Texas
Instruments Forre and others left and went on to form Energy Micro. TI
subsequently took Forre to court alleging that he had been trying to
recruit some of his old colleagues, now TI employees, to work for Energy
Micro, in contravention of terms and conditions laid down at the time
of the Chipcon acquisition. Forre was alleged to have "jumped the gun"
on the lifting of those restrictions that was due in July 2008.
Keep us posted Peter! One comparison to look at would be the acquisition of Teridian by Maxim for $315M more than two years ago. I seriously doubt if the numbers are anywhere that for Energy Micro.
It may be that Energy Micro was looking to do another VC round and in the looking unearthed the possibility of getting bought out, which no doubt the VCs looked hard at...but one wonders how big a flip it was for the VCs, for Geir, Oyvind and the team?