IC Merger Mania Hits Fever Pitch

Dylan McGrath, Contributing Editor, EETimes
12/2/2015 10:13 AM EST

With the announcement that Microsemi outbid Skyworks for PMC-Sierra, the total value of semiconductor industry acquisitions announced in 2015 eclipsed the $100 billion mark.

The wave of consolidation that has run rampant in the semiconductor industry for more than a year has reached new heights as buyers scramble to land a shrinking number of potential acquisition targets.

Case in point: Microsemi Corp.’s agreement last week to acquire mixed-signal storage IC house PMC-Sierra Inc. for $2.5 billion in cash and stock. The purchase price is a full 25% higher than the $2 billion that Skyworks Solutions Inc. agreed to pay for PMC less than two months earlier. It is also 77% higher than the closing price of PMC’s stock on Sept. 30, a few days before the Skyworks deal was announced.

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