TOKYO, Japan | San Jose, California, U.S.A. ― Renesas Electronics Corporation and Integrated Device Technology, Inc. jointly announced the successful completion of Renesas’ acquisition of IDT, as of March 30, 2019 JST, March 29, 2019 PDT, following approvals by IDT shareholders and the relevant regulatory authorities.
Together with IDT, Renesas will now deliver an even broader range of leading-edge technology and embedded solutions by combining IDT’s RF, high-performance timing, memory interface, real-time interconnect, optical interconnect, wireless power and smart sensors with Renesas microcontrollers, system-on-chips and power management ICs. This combined portfolio enables the creation of new classes of products and solutions in fast-growing, data-economy applications across different verticals, including industrial, infrastructure and automotive segments, for customers and partners across the globe.
To immediately showcase how Renesas and IDT’s complementary product portfolios work together to deliver comprehensive solutions, Renesas and IDT developed 15 “Winning Combinations,” compelling Renesas-plus-IDT product combinations that capture and highlight the technological advantages Renesas and IDT provide as a combined company. Examples of Winning Combinations include IDT automotive timing plus Renesas R-Car processor solutions for automotive infotainment applications, an IDT gas sensor plus Renesas MCU for IoT building automation air quality control and other Winning Combinations for base station, wireline and server applications. To learn more about the Renesas and IDT Winning Combinations, visit www.renesas.com/solutions/idt.html.
As a result of the completion of the transaction, IDT became a wholly owned subsidiary of Renesas. As of today, Dr. Sailesh Chittipeddi joined Renesas’ executive team as Executive Vice President and will lead IDT as President and CEO. Renesas is committed to a smooth and swift integration of the two companies and continuation of technical support and future product development for IDT’s industry-leading analog mixed-signal products.
As previously announced, Renesas anticipates near- and long-term revenue growth from expanded opportunities, access to fast-growing industries, as well as cost savings from a larger business platform, which will bring innovation and improvements along with an expected positive financial impact in the region of US$250 million in non-GAAP operating income per year on a run-rate basis. Renesas expects the acquisition to be highly accretive to Renesas’ pro-forma non-GAAP gross margin, non-GAAP EPS (earnings per share) and free cash flows immediately after completion, consistent with prior guidance. Renesas completed the transaction using approximately US$6.3 billion (approximately ¥693.0 billion at an exchange rate of 110 yen to the dollar), through a combination of cash on hand and debt financing.
Learn more at renesas.com.
Additional information about IDT can be found at www.IDT.com.