Diodes to Purchase FabTech from Lite-On Power
Diodes Inc. (Westlake Village, CA) announced that it is buying FabTech Inc. (Lee's Summit, MO) from Lite-On Power Semiconductor Corp. (Keelong, Taiwan), which owns about 38 percent of Diodes' outstanding shares.
FabTech, which is being bought for $25.0 million, is a 5-inch wafer foundry specializing in Schottky products. FabTech has 210 employees and is expected to generate about $20.0 million in revenues this year. Diodes said the acquisition will be internally financed and is expected to be accretive to earnings beginning in 2001.
"This acquisition begins to realize our goal of becoming a vertically integrated manufacturer and supplier of discrete semiconductors," commented Diodes CEO and President C.H. Chen. "Fab-Tech's wafer foundry provides us with the manufacturing base and top-tier research and development team to develop higher-margin, next-generation semiconductor products."