The Wall Street Journal is reporting that TI intends to buy National Semiconductor for $6.5 billion, $25/share. These two semiconductor firms are analog semiconductor powerhouses with large businesses in non-analog markets as well. TI says that this move will immediately grow National’s sales team by 10x.
The article also states that TI has pulled out of the recession with a sharp rebound in orders while National Semi has not done as well. This apparently created a big acquisition opportunity for TI.
The bid's hefty premium casts light on a large but unglamorous semiconductor business—chips based on analog technology and used for such duties as amplifying radio signals in cellphones and managing power consumption in computers.
The article also states that TI has pulled out of the recession with a sharp rebound in orders while National Semi has not done as well. This apparently created a big acquisition opportunity for TI.
The bid's hefty premium casts light on a large but unglamorous semiconductor business—chips based on analog technology and used for such duties as amplifying radio signals in cellphones and managing power consumption in computers.
