PE firm Canyon Bridge Capital to buy Lattice Semiconductor for $1.3 bn
03 Nov 2016
Private equity firm Canyon Bridge Capital Partners today struck a deal to buy US-based programmable chipmaker Lattice Semiconductor Corp for $1.3 billion, including debt.
Canyon Bridge Capital is paying $8.30 per-share, a 30.3 per cent premium to Lattice's yesterday closing price of $6.37.
The acquisition has been unanimously approved by the boards of both companies and is expected to close in early 2017.
Upon closing, Lattice will be a standalone subsidiary of Canyon Bridge and Lattice's senior management team will continue to lead the business from its current headquarters in Portland, Oregon.
Lattice provides smart connectivity solutions powered by our low power FPGA, video ASSP, 60 GHz millimeter wave, and IP products to the consumer, communications, industrial, computing, and automotive markets worldwide.
Founded in 1983, the Nasdaq-listed company employs about 700 people and has annual revenues of around $300 million.
The company holds the world's third-largest market share in field programmable gate array (FPGA) devices, and second-largest share in CPLDs & SPLDs.
Darin Billerbeck, president and CEO of Lattice, said, ''This transaction is the culmination of an extensive review process with our Board, financial and legal advisers, and it delivers certain and immediate cash value to shareholders while reducing our execution risk …….. Importantly, we will operate as a standalone subsidiary after the acquisition and do not expect any changes in our operations or our unwavering commitment to continued innovation for our customers.''