ON Semiconductor Corporation has signed an agreement with Analog Devices Inc. to acquire voltage regulation and thermal monitoring products for computing applications for approximately $185 million cash. The company will acquire assets and intellectual property related to these monitoring and regulatory technologies, and will hold a manufacturing supply arrangement with Analog Devices over the next year.
ON Semiconductor will also have access to several of Analog Devices’ patents and patent applications as well as intellectual property within the realm of its niche.
“The technical expertise of the staff is a critical aspect of this transaction,” said Keith Jackson, ON Semiconductor president and CEO. “This additional talent will help ON Semiconductor expand its overall computing power management business and accelerates our notebook power management revenue growth. Along with the products and technology, this team complements ON Semiconductor’s existing Computing Products Group and will provide increased value-add and scale to our customers.”
The acquisition is expected to close in December. According to ON Semicdonductor, this transaction, which will be handled in cash-currency, will put them around $200 million in the red by the end of Q4.