PHOENIX, Ariz. - Jan. 2, 2008 - ON Semiconductor Corporation (NASDAQ: ONNN) today announced that it has completed its acquisition of the voltage regulation and thermal monitoring products for computing applications from Analog Devices, Inc. (NYSE: ADI). On Nov. 8, 2007, ON Semiconductor announced that it signed a definitive agreement to acquire these product lines from ADI. The total consideration value paid of approximately $184 million in cash includes the purchase price for the acquired assets and intellectual property rights related to the product lines as well as amounts payable under a one-year manufacturing supply arrangement with ADI.
"The customers and products associated with the computing end-market are a critical component to our ongoing success and strategy," said Keith Jackson, ON Semiconductor president and CEO. "The technical expertise, customer relationships and power management know-how of the ADI team expands our overall computing power management business and accelerates our notebook power management revenue."
After paying cash for this transaction, the company expects its cash and cash equivalents balance will exceed $250 million exiting 2007. ON Semiconductor will begin recognizing revenue associated with the acquired business beginning in the first quarter of 2008. The company also anticipates minimal non-cash acquisition related charges associated with the transaction in the fourth quarter ending Dec. 31, 2007 and approximately $2 million in non-cash amortization of intangible charges associated with the acquisition in the first quarter of 2008. ON currently anticipates reporting fourth quarter and 2007 annual results on Jan. 31, 2008 at which time it will provide first quarter 2008 guidance that will include the results of the acquired business. The company also intends to report U.S. GAAP and non-GAAP earnings per share which will exclude certain non-cash related charges beginning in the fourth quarter of 2007.
About ON Semiconductor
With its global logistics network and strong portfolio of power semiconductor devices, ON Semiconductor (NASDAQ: ONNN) is a preferred supplier of power solutions to engineers, purchasing professionals, distributors and contract manufacturers in the power supply, computer, cell phone, portable devices, automotive and industrial markets. For more information, please visit ON Semiconductor's website at www.onsemi.com.