Semiconductor merger mania not over

[Bernard Murphy]

Analog Devices in talks to acquire Linear Technology - rumored to be for ~ $11.6B

 

[Daniel Payne]

At least this kind of merger makes some sense, since both companies like to sell AMS semiconductors.

 

[Daniel Nenni]

SAN FRANCISCO—Analog Devices Inc. (ADI) will acquire rival Linear Technology Corp. in a cash and stock deal worth about $14.8 billion, the companies said Tuesday (July 26).

The deal, which remains subject to stockholder approval, would bring together two analog semiconductor powerhouses and would be the latest in a string of blockbuster semiconductor deals over the past few years.

Under the terms of the deal, ADI will pay $46 and 0.23 shares of ADI for each share of Linear Technology common stock, the companies said. The transaction values Linear at $60 per share, a premium of about 24% over its closing price of $48.47 Monday....

ADI to Acquire Linear Tech for $14.8 Billion | EE Times

 

[philippelambinet]

Is Maxim next in line?

 

[philippelambinet]

Times will be tough for the sub-scale analog and mixed-signal players like Intersil, Silicon Labs, Semtech, etc.
Similar size companies have already been acquired: Wolfson, Micrel, Fairchild, ...
Sometimes it's better to be acquired than to slowly decline into irrelevance.
And then, of course, there is the STMicroelectronics Analog and Mixed Signal business which would be a nice target with its MEMs, SiC and Auto business.

 

[Bernard Murphy]

Times will be tough for the sub-scale analog and mixed-signal players like Intersil, Silicon Labs, Semtech, etc.
Similar size companies have already been acquired: Wolfson, Micrel, Fairchild, ...
Sometimes it's better to be acquired than to slowly decline into irrelevance.
And then, of course, there is the STMicroelectronics Analog and Mixed Signal business which would be a nice target with its MEMs, SiC and Auto business.

ST is an interesting thought. They have a lot of intellectual property: process, what we call IP today, MEMS, etc. But the company structure is a challenge - a collaboration between French and Italian governments. Disentangling that would not be easy.

 

[kristinalva]

On whatever basis companies go for merger or acquisition, employees interest must always keep on the forefront. With this process following points always keep revolving around them:-Will there be the duplication of roles?
Will this lead to redundancy?
Should I start looking now?
What affect will this have on me and my career?
These questions raise doubt and have a knock on affect on morale, performance, productivity. In such situation, it is very necessary that employer going through a merger/acquisition process is to keep your staff fully informed on current transition plans. It must have an open door approach on this issue and understand that while you may not have all the answers, a lack of communication can lead to insecurity and lead to you losing a key member of staff.

 

[Daniel Payne]

On whatever basis companies go for merger or acquisition, employees interest must always keep on the forefront. With this process following points always keep revolving around them:-Will there be the duplication of roles?
Will this lead to redundancy?
Should I start looking now?
What affect will this have on me and my career?
These questions raise doubt and have a knock on affect on morale, performance, productivity. In such situation, it is very necessary that employer going through a merger/acquisition process is to keep your staff fully informed on current transition plans. It must have an open door approach on this issue and understand that while you may not have all the answers, a lack of communication can lead to insecurity and lead to you losing a key member of staff.

Your job at a company going through a merger is often safe if you are part of the larger company - the one keeping its name, are in a profitable group, and have a powerful manager that looks out for your group. If you are at the larger company but not in a profitable group, then quickly look to transfer into a profitable group or else you will likely be let go.