27 January 2017

MACOM completes acquisition of AppliedMicro

MACOM Technology Solutions Holdings Inc of Lowell, MA, USA (which makes semiconductors, components and subassemblies for analog RF, microwave, millimeter-wave and photonic applications) has completed its acquisition (announced on 21 November) of Applied Micro Circuits Corp (AMCC) of Santa Clara, CA, USA (which provides silicon-based computing and connectivity solutions for next-generation cloud infrastructure and data centers).

"AppliedMicro's leadership in MACsec and 100G to 400G single-Lambda PAM4 positions MACOM as a preferred supplier to major enterprise and cloud data-center providers, many of whom are adopting the technologies this year," says MACOM's president & CEO John Croteau. "MACOM will now be able to support customers with all of the requisite semiconductor content for optical networks — analog, photonic and mixed signal PHY — from the switch to fiber for long haul, metro, access, backhaul and data centers," he adds.

MACOM offered to acquire AppliedMicro's issued and outstanding shares for $3.25 in cash and 0.1089 shares of MACOM common stock per share. This equated to about $8.36 per share (a 15.4% premium over the closing price of $7.25 on 18 November). According to the depositary for the exchange offer, 64,466,896 shares (about 73.6% of AppliedMicro's outstanding common stock) were validly tendered. All of these were accepted for payment in accordance with the terms of the exchange offer and applicable law. AppliedMicro is now a wholly owned subsidiary of MACOM, and its shares will cease to be traded on the NASDAQ Global Select Market.

"With the transaction now closed, MACOM plans to promptly engage with previously identified potential buyers toward a near-term divestment of AppliedMicro's well-positioned Compute business," Croteau continues. "This portion of the business does not strategically align with our long-term product focus, but we feel confident a successful transaction can be consummated."

See related items:

MACOM to acquire Applied Micro Circuits Corp for $770m

Tags: M/A-COM

Visit: www.macom.com

Visit: www.apm.com