This excerpt taken from the ONNN 8-K filed Dec 14, 2009.
for $4.70 per Share in an All-Cash Tender Offer
PHOENIX, Ariz. and MILPITAS, Calif. Dec. 14, 2009 ON Semiconductor (Nasdaq: ONNN) and California Micro Devices (Nasdaq: CAMD) today announced the signing of a definitive merger agreement pursuant to which ON Semiconductor will acquire California Micro Devices (CMD) through a cash tender offer of $4.70 per share. With net cash, cash equivalents and short-term investments of approximately $45 million at the end of November 2009, the transaction value of CMD represents an enterprise value of approximately $63 million and an equity value of approximately $108 million, based on common stock outstanding and issued. The proposed transaction and related merger agreement have been approved by each companys board of directors.
The acquisition of California Micro Devices will significantly strengthen our offering of application specific integrated passive (ASIP) devices to protect products in the wireless, computing and consumer electronics end-markets, said Keith Jackson, ON Semiconductor president and CEO. In addition, CMDs expertise in protection solutions for the high brightness LED (HBLED) market, as well as their strengths in LC-based EMI (electromagnetic interference) filtering and low capacitance ESD (electrostatic discharge) protection, complement our existing portfolio of protection and lighting solutions. With technology and process development expertise in ESD and EMI protection, CMD is highly differentiated in the marketplace as demonstrated by their strong relationships with leading global customers across multiple large and growing applications. Combined with ON Semiconductors global sales channel footprint and effective channels of distribution, we expect to be able to support a broader and deeper penetration of CMDs overall product portfolio with market-leading customers. This should enable us to accelerate revenue growth for CMDs products and increase market share. We also believe CMDs products and operations will benefit from ON Semiconductors world-class manufacturing capabilities.
California Micro Devices becoming a part of ON Semiconductor represents a compelling opportunity for our customers, employees and shareholders, said Robert Dickinson, president and CEO of CMD. To compete successfully in todays global marketplace, size and scale are very important so we are pleased to become part of a leading global company in the semiconductor sector. Combining our leading-edge protection technology with ON Semiconductors world-class operational capabilities, supply chain and global customer and channel footprint will enable CMDs products to better penetrate the mobile, consumer, laptop and lighting end-markets.
On Semiconductor to Acquire California Micro Devices for $4.70 per Share in an All-Cash Tender Offer
2 2 2 2