BCD Semi to buy power management IC firm
5/31/2011 6:36 PM EDT
SAN FRANCISCO—Chinese power management IC vendor BCD Semiconductor Manufacturing Ltd. said Tuesday (May 31) it acquired Taiwan-based Auramicro Corp. for $5.6 million in cash.
BCD (Shanghai) said the acquisition would add a significant engineering team to BCD's power management IC research and development team. The acquisition will expand also BCD's DC/DC product portfolio with solutions that can leverage BCD's Fab 2 manufacturing process currently under development, the company said.
"The addition of Auramicro's analog design team and power IC product portfolio will be a great complement to BCD's growing power IC business," said Chieh Chang, CEO of BCD, in a statement. "We feel our differentiated business model will allow us to continue to take share in the multi-billion dollar power IC market and we are excited to have Auramicro's team join the BCD family."
The transaction is expected to close by the end of the second fiscal quarter, BCD said. The acquisition, which initially adds approximately $500 thousand in operating expenses per quarter, is expected to be neutral to BCD's earnings per share in the company's 2011 fiscal year and accretive in 2012, according to the company.