American software company Synaptics Inc. (Nasdaq: SYNA) today that it has signed a definitive agreement to acquire an Israeli provider of voice and wireless chip solutions for converged communications, DSP Group Inc. (Nasdaq: DSPG). The acquisition, which has already been unanimously approved by both companies’ boards of directors, for $22 per share, an 18% premium to DSP Group’s stock price at closing Friday, giving the company a total valuation of $540 million. Related Articles DSP Group Buys Noise Canceling Company SoundChip Group CEO DSP: We Are The Pentagon, CIA Gatekeepers DSP Group Signs $90 Million Deal Deutsche Telekom DSP Group Signs Strategic Deal With Samsung Galaxy Tablet. For a new entity that will be realized within 12 months of closing and immediately accrue to Synaptics’ non-GAAP earnings. The transaction is expected to be funded by a combination of cash in hand and an additional fully committed debt financing arrangement with the expectation to close by the end of the 2021 calendar year, subject to DSP shareholder approval and usual closing conditions. Traded on Nasdaq since 1994, the DSP Group provides segments across multiple markets in the voice Internet of Things (IoAT) with significant growth opportunities in low-power SmartVoice, unified communications and collaboration, and wireless IoT devices. Most of these solutions are closely related to Synaptics’ existing customer base, furthering the wallet’s hardware cross-selling strategy. DSP Group CEO Ofer El Yakim said, “We are excited to join forces with Synaptics, the leader in IoT products. This combination delivers a great result for our shareholders who have supported us through this journey, delivering meaningful and defined value. The portfolios along with a group of our engineering teams This world-class technology creates an exciting opportunity for the core technology of the DSP Group to further expand the product range of our existing customers.” “We continue to invest in technologies that tilt our product mix toward IoT applications,” said Michael Hurlston, President and CEO of Synaptics. “The DSP Group’s expertise in SmartVoice and ULE wireless solutions, along with Synaptics’ leadership position in remote field speech recognition and IoT allow us to -Fi/BT groups deliver increasingly differentiated solutions to our aggregate customer base, while positioning us to lead the transition to AI-enabled devices at the edge of the network.” Posted by Globes, Israel business news – en.globes.co.il – on 30 August 2021 Copyright Globes Publisher Itonut (1983) Ltd. 2021
Synaptics acquires Israeli chip maker DSP Group for $540 million
0 Comments