IDT Completes Acquisition of Tundra Semiconductor
SAN JOSE, Calif., June 29, 2009 – IDT® (Integrated Device Technology, Inc.; NASDAQ: IDTI), a leading provider of essential mixed signal semiconductor solutions that enrich the digital media experience, today announced the closing of its acquisition of all of the shares of Tundra® Semiconductor Corporation (TSX: TUN) for aggregate cash consideration of approximately CDN $120.8 million.
The Tundra acquisition is expected to strengthen the IDT product portfolio of serial switching and bridging using PCI Express®, Rapid IO® and VME interconnect standards. Additionally, the Tundra technology, combined with the IDT mixed signal product portfolio and channel capabilities, is intended to further reinforce the IDT leadership in interconnect solutions for the communication, computing and embedded segments.
“Tundra is a great company, bringing a wealth of technologies and capabilities to IDT that are complementary to our existing product portfolios for RapidIO and PCI Express. We believe that this strategic combination will provide customers with a broader product offering as well as improved service, support and a future roadmap for serial connectivity,” said Dr. Ted Tewksbury, president and CEO of IDT. “In addition, we currently project that this acquisition will be financially accretive to IDT’s non-GAAP EPS in the second full fiscal quarter of IDT combined operations.”
With the goal of continuously improving the digital media experience, IDT integrates its fundamental semiconductor heritage with essential innovation, developing and delivering low-power, mixed signal solutions that solve customer problems. Headquartered in San Jose, Calif., IDT has design, manufacturing and sales facilities throughout the world. IDT stock is traded on the NASDAQ Global Select Stock Market® under the symbol “IDTI.” Additional information about IDT is accessible at www.IDT.com/go/Tundra.
This release contains forward-looking statements. Forward-looking statements are commonly identified by words such as “would,” “may,” “expects,” “believes,” “plans, ” “intends,” “projects,” and other terms with similar meaning. These forward-looking statements include statements about our expectations regarding future financial results, including non-GAAP earnings per share. Investors are cautioned that forward-looking statements in this release involve a number of risks and uncertainties that could cause actual results to differ materially from current expectations. Risks include, but are not limited to: global business and economic conditions; fluctuations in product demand, manufacturing capacity and costs, inventory management, competition, pricing, patent and other intellectual property rights of third parties; timely development and supply of new products and manufacturing processes; dependence on one or more customers for a significant portion of sales; availability of capital, cash flow; successful integration and restructuring of acquired businesses, technology and related employee matters; the possibility that the revenues, cost savings, growth prospects and any other synergies expected from the Tundra transaction may not be fully realized or may take longer to realize than expected; the challenges and costs of integrating, restructuring and achieving anticipated synergies in the Tundra transaction; the possibility that the Tundra transaction may not be accretive to IDT as expected; other risk factors detailed in the Company’s Securities and Exchange Commission filings. The Company urges investors to review in detail the risks and uncertainties in the Company’s Securities and Exchange Commission filings, including but not limited to its annual reports on Form 10-K for the fiscal year ended March 29, 2009, its current reports on Form 8-K and other Securities and Exchange Commission filings . These forward-looking statements speak only as of the date hereof. We assume no obligation to publicly release the results of any revisions or updates to these forward-looking statements that may be made to reflect events or circumstances after the date hereof, or to reflect the occurrence of unanticipated events, except as required by law.
IDT, Tundra, the IDT logo and the Tundra logo are trademarks or registered trademarks of Integrated Device Technology, Inc. All other brands, product names and marks are or may be trademarks or registered trademarks used to identify products or services of their respective owners.