RF Micro Devices to Acquire Silicon Wave

April 21, 2004 by Jeff Shepard

RF Micro Devices Inc. (RFMD, Greensboro, NC), a provider of proprietary radio frequency integrated circuits for wireless communications applications, announced it has signed a definitive agreement to acquire Silicon Wave Inc. (San Diego, CA), a privately held company that is a leading supplier of integrated circuits for wireless personal area networks (WPANs).

The merger transaction is expected to close within 30 days and will be accounted for under the purchase method of accounting. The boards of directors of both companies have approved the merger, which awaits approval by Silicon Wave's shareholders. In connection with the acquisition, RFMD will pay approximately $10.8 million in cash in exchange for all outstanding shares of Silicon Wave capital stock not owned by RFMD. Additionally, if certain revenue performance goals for the years ending March 31, 2005, and 2006, are met, RFMD will pay additional amounts in cash to shareholders of Silicon Wave.