Monday, January 24, 2011

ISSI Announces Acquisition of Si En Integration Holdings Limited

SAN JOSE, Calif., Jan. 24, 2011 /PRNewswire/ -- Integrated Silicon Solution, Inc. (Nasdaq: ISSI) today announced that it has signed a definitive agreement to acquire Si En Integration Holdings Limited ("Si En"), a privately held fabless provider of high performance analog and mixed signal integrated circuits headquartered in Xiamen, China. Si En targets the mobile communications, digital consumer, networking, and automotive markets with high quality analog products. For the year endedDecember 31, 2010, Si En had revenue of $22.2 million, gross margin of 42.5 percent, and operating income of $5.2 million. The purchase price will be approximately $20 million in cash, based on estimated working capital and net of cash acquired. The transaction is subject to customary closing conditions and is expected to be completed in the current quarter. ISSI expects the acquisition to be immediately accretive to earnings per share.

Commenting on the transaction, Scott Howarth, president and CEO of ISSI, stated, "This acquisition diversifies our product portfolio by adding complementary technologies to our market-proven SRAM and DRAM technologies. We obtain higher margin analog and mixed signal products to sell into our current end markets, while strengthening our overall business and presence in the growing Chinese market. We believe Si En's products, design expertise and proprietary technologies will further increase our growth and profit potential by expanding our market share at existing and new customers."

Founded in 2005, Si En's current products include: audio power amplifiers used in cells phones, GPS devices, MP3 players and conference phones; LED drivers for backlighting and panel display used in cell phones, digital cameras, notebook computers and other computing and consumer applications; voltage converters used in industrial applications; and temperature sensors for computing, networking and industrial applications. Si En has been named one of the top ten IC design companies in China at the International IC-China Conference and Exhibition in both 2010 and 2009.

"By joining an established leader in semiconductor solutions, Si En will be able to leverage ISSI's strong sales and operational framework to further grow our business in China as well as other key global markets," said Sai Luen Ting, Si En chairman and CEO. "I am very excited about combining our analog and mixed signal expertise with ISSI's global capabilities to create a broader, more diversified business."

About ISSI

ISSI is a fabless semiconductor company that designs and markets high performance integrated circuits for the following key markets: (i) digital consumer electronics, (ii) networking, (iii) mobile communications, (iv) automotive electronics, and (v) industrial, medical, and military. ISSI is headquartered in Silicon Valley with worldwide offices in Taiwan, Japan, Singapore,China, Europe, Hong Kong, India, and Korea. Visit our web site at http://www.issi.com.

About Si En

Si-En is a fabless semiconductor company that designs, develops and markets high performance analog and mixed-signal integrated circuits for the following key markets: mobile communications, digital consumer electronics, networking, and automotive electronics. Its primary products are audio amplifiers, LED drivers, power management and temperature sensors. Si En is headquartered in Xiamen, China. The web site is http://www.si-en.com.

No comments:

Post a Comment