Microsemi buys division of Knowles in Itasca for $130 million
Microsemi Corp., with offices in Schaumburg, is buying a division of Itasca-based Knowles Corp. for $130 million in cash, the companies said.
Knowles Corp., a global supplier of advanced micro-acoustic, audio processing and precision device solutions, said it is selling its timing device (oscillator) business, which is part of its precision devices segment.
Microsemi Corp., based Aliso Viejo, California, offers a portfolio of semiconductor and system solutions for aerospace & defense, communications, data center and industrial markets. The company has about 4,800 employees globally.
The transaction is expected to be slightly dilutive to earnings and to close in the current quarter, subject to regulatory approval and customary closing conditions.
"The divestiture of this nonstrategic business enables us to increase our focus on growth platforms where we have strong market positions and attractive margin profiles," said Jeffrey Niew, president and CEO of Knowles.
Knowles Corp. serves the mobile consumer electronics, communications, medical, military, aerospace and industrial markets. It uses its position in MEMS (micro-electro-mechanical systems) microphones and capabilities in audio processing technologies to optimize audio systems and improve the user experience in smartphones, tablets and wearables.
Founded in 1946, Knowles is a global organization with employees in 12 countries.