Murata Electronics North America, Inc., a wholly owned subsidiary of Murata
Manufacturing Co., Ltd., and Peregrine Semiconductor
Corporation (Peregrine) PSMI today announced that they have entered
into a definitive agreement under which Murata will acquire all outstanding
shares of Peregrine not owned by Murata, for $12.50 per share in cash, or a
total transaction value of $471 million ($465 million excluding Murata's
existing holding). Peregrine is the founder of RF SOI (silicon on insulator)
and pioneer of advanced Radio Frequency (RF) solutions and is a leading
provider of RF front-end (RFFE) solutions for mobile and analog applications.
Upon closing of the transaction, Peregrine will become part of Murata's
strategy to expand its core business. Peregrine will become a wholly owned
subsidiary of Murata and continue with its current business model of solving
the world's toughest RF challenges.
“This acquisition will combine Murata's world-leading mobile RF module
capabilities with Peregrine's best-in-class RF front-end products. Peregrine
has a team of talented RF engineers,” said Norio Nakajima, Executive Vice
President , Director of Communication Business Unit of Murata. “Peregrine
invented RF SOI, has led its development for 20 years, and accomplished a
large number of industry firsts. We have worked closely with them for many
years. Their innovation, including the Global 1 all-silicon integrated RF
front-end, is a key strategic area for the mobile industry. This transaction
will deepen our existing partnership and position us to meet the expanding
opportunities in this field.”
“Murata is the world's leading RF module and filter provider, and we have
benefited from our many years of partnership with them. The combination of
Murata's leading products with Peregrine's leading-edge SOI products will
position us to compete aggressively in our chosen markets,” said Jim Cable,
PhD, Chairman and CEO of Peregrine Semiconductor. “As part of the Murata team,
we will be able to expand our existing partnership and speed the industry's
transition to an integrated, all-CMOS RF front-end. We remain committed to
providing leading solutions to customers in all our current markets. We have
huge respect for Murata's capabilities, and look forward to jointly
accomplishing great things.”
The acquisition will deliver to Murata advanced RF Front-end capabilities and
the world's best Silicon on Insulator (SOI) process technology, key areas for
the growing integration of mobile technologies. The radio requirements of
smartphones and other wireless devices continue to grow more complex. This
complexity can only be solved with silicon technology. Peregrine supplies many
wireless markets, including: smartphones, test & measurement, automotive,
public safety radio and wireless Infrastructure. Peregrine will also provide
Murata with a strong portfolio of Intellectual Property Rights (IPR) covering
the entire RF SOI front-end.
The transaction, which has been approved by both companies' boards of
directors, is expected to close by the end of 2014 or early 2015, subject to
Peregrine's stockholders' approval, regulatory approvals, and other customary
closing conditions.
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