Integrated Device Technology, Inc. and GigPeak, Inc. both headquartered in San Jose, California USA have definitively agreed that IDT will acquire GigPeak, Inc.
The price for the acquisition is $3.08 per share or about $250 million in cash. The per share consideration would represent a premium of about 22% compared to GigPeak’s closing share price on February 10, 2017.
The acquisition will give IDT a renowned optical interconnect product and a technology business that is complementary to its products that offer real-time interconnection. IDT points out that leading companies in the communications, cloud data center and military/aviation markets broadly use GigPeak’s optical interface products. After the acquisition, IDT will be able to offer ultra-high speed data connectivity products using optical, RF, and electrical technologies. The transaction is subject to customary conditions.
“GigPeak is a recognized leader in high-performance Optical, RF, and Video Transport technology, and is a perfect fit for IDT. The products, technology, and culture of GigPeak all complement and represent an acceleration of our current strategy,” said Gregory Waters, IDT president & CEO.
Dr. Avi Katz, Founder, Chairman, and CEO of GigPeak, Inc. commented, “Upon the consummation of this acquisition, our leading product suite, which currently addresses the need for greater bandwidth across the network, will now have the advantage of leveraging the scale of resources and broad distribution channels of IDT.”