Home Cirrus Logic to buy Wolfson for GBP 291 mln
 

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Cirrus Logic to buy Wolfson for GBP 291 mln

2014-04-29 12:05:00| Telecompaper Headlines

(Telecompaper) Cirrus Logic has agreed to acquire the audio chips specialist Wolfson Microelectronics for GBP 291 million. Cirrus Logic will pay 235 pence per Wolfson share, a 75.4 percent premium on the share price the day before the deal was announced. Wolfson's board has recommended the offer to shareholders, and its directors agreed to tender their shares to Cirrus Logic. Odey Asset Management, which holds 5.88 percent of Wolfson, has also accepted the bid. With a diverse analogue and signal-processing patent portfolio, Texas-based Cirrus Logic delivers highly optimised products for a variety of audio and energy-related applications. It will fund the takeover with existing cash and a new bank credit agreement. The acquisition is expected to strengthen its catalogue of audio products and expand its customer base, while also adding new software features and products such as MEMS microphones. Wolfson will increase its annual sales by around a quarter. Pending shareholder and regulatory approval, the takeover is expected to close in the second half of the year. 

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Category:Telecommunications

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