MILPITAS, Calif., March 16 -- California Micro Devices (Nasdaq: CAMD) announced today that it has entered into a definitive agreement to acquire privately held Arques Technology, a fabless manufacturer of innovative analog semiconductor devices. The acquisition of the Santa Clara, California firm adds white LED drivers for mobile handsets and DDR memory voltage regulators for digital consumer electronics products to the CMD product portfolio.
"The acquisition of Arques Technology marks an important milestone in the evolution of California Micro Devices," said Robert V. Dickinson, president and chief executive officer. "In addition to strengthening our analog design team and our portfolio of active analog devices, it also expands our presence in Asia."
Under the terms of the agreement, the acquisition will be a cash transaction consisting of an initial payment of approximately $8.0 million and an earn out based on performance of the Arques product line during the eighteen months after the acquisition is completed. The transaction is expected to close in early April, 2006.
Founded in 2001, Arques currently has 25 employees at its Santa Clara headquarters and its Taipei and Beijing locations, most of whom, according to Dickinson, will be offered the opportunity to continue working in their present positions. "We look forward to Arques employees joining our team and playing key roles in driving our company's future growth," he added.
Commenting on the acquisition, Gerome Tseng, Arques president and CEO, said, "We have great respect for California Micro Devices and the strong position it has established in the markets we have been targeting. We believe the combination of the two companies will lead to greater success than either would achieve alone."
About California Micro Devices Corporation
California Micro Devices Corporation is a leading supplier of application specific analog semiconductor products for the mobile handset, personal computer and digital consumer electronics markets. Key products include Application Specific Integrated Passive(TM) (ASIP(TM)) devices and selected high value mixed signal ICs. Detailed corporate and product information may be accessed at www.calmicro.com.