Analog and mixed-signal integrated circuits manufacturer Microsemi has acquired Massachusetts-based Microwave Device Technology for $7.8m in cash.
According to Microsemi, the acquisition will enhance its microwave semiconductors portfolio by adding Gallium arsenide (GaAs) microwave diodes and help it enter into the sensor market.
Microwave Device Technology (MDT) was founded in 1988 by Dr Ramachandran and its customers include Lockheed Martin, Honeywell, John Deere, LM Ericcson, Nokia and Fujitsu. The acquisition is expected to be completed by the end of the year.
By adding GaAs devices to our present silicon product line, we will increase our frequency band of coverage from 24 GHz to 110 GHz, said John Caruso, vice president and general manager of Lowell division at Microsemi. Additionally, we have added millimeter components to our existing silicon product line thus utilizing our GaAs capability for high frequency transceivers that support such products as Intrusion Alarms, Motions and Speed Detectors and other sophisticated sensor products.
Rob Adams, vice president of business development at Microsemi said: Like Microsemi, MDT is a sole-source supplier to many of Microsemi’s existing high-reliability semiconductor customers and its business model matches our gross margin profile for this market. MDT had sales of just over $7 million in the past twelve months and the acquisition will be accretive immediately.
This will be Microsemi’s first acquisition in more than a year. The company last acquired PowerDsine, in October 2006, to enhance its analog and mixed signal design capabilities.
Source: ComputerWire daily updates