APT to Acquire GHz Technology
Advanced Power Technology Inc. (APT, Bend, OR) announced plans to acquire GHz Technology Inc. (Santa Clara, CA) for approximately $29.1 million. APT said the merger is part of its strategy to expand its RF technology and product portfolio. The deal would give APT access to GHz’s RF power transistors, which are capable of switching at frequencies from 1MHz to 3.5GHz.
GHz Technology’s products are used in radar, avionics and wireless communications applications. GHz will become the RF products group for APT with the discrete power, power module, and aerospace and defense product groups remaining at APT.
APT plans to issue about 1.48 million shares of common stock and $13.3 million in exchange for the business and assets of GHz Technology, which will include about $7.9 million. APT will also issue options to purchase 704,099 shares of APT common stock in exchange for outstanding GHz stock options and for the retention of certain GHz employees.
The deal has been approved by both companies’ boards, but is still subject to customary closing conditions. After the deal is closed, GHz shareholders will own about 14.6 percent of the 10.2 million shares of APT common stock that will be outstanding.