This past June, we reported that ON Semiconductor Corporation had signed an agreement to acquire Aptina Imaging for approximately $400 million. Months later, on August 18, the deal became official with ON Semiconductor agreeing to pay for the acquisition by cash on the balance sheet and the company’s existing revolving line of credit.
This acquisition was made to strengthen ON Semiconductor’s expanding image sensor business and to establish the company as a leader in the fast-growing segment of image sensors in the automotive and industrial semiconductor markets. These markets, according to independent market research firm TSR, will see worldwide demand increase and are expected to grow at an annual compound rate of 16%.
"With a broad portfolio of products and industry-leading technological capabilities, ON Semiconductor is well positioned to provide the most competitive imaging solutions for a broad range of applications," said Keith Jackson, president and CEO of ON Semiconductor.
He added, "The acquisition of Aptina Imaging is a step towards our stated strategic goal of expanding our presence in the automotive, industrial and smartphone end-markets. I am pleased to welcome the employees of Aptina Imaging to ON Semiconductor and I look forward to the opportunities that this transaction creates for our customers, investors and employees."
ON Semiconductor, according to the press release, expects to establish a new reporting segment, which will incorporate the financial results of the company’s consolidated sensor businesses, including the recent acquisitions of both Aptina Imaging and Truesense Imaging, and ON Semiconductor’s existing optical, image, and touch sensor businesses.
The company expects to begin reporting financial results for the newly created segment from the third quarter of 2014. The acquisition of Aptina Imaging is predicted to contribute revenue in the range of $60 million to $70 million.
View the press release.
Also check out:
ON Semiconductor officially acquires Truesense Imaging, Inc.
Aptina completes purchase of CFA processing and image probe assets from Micron Technology
Industrial camera survey provides potential glimpse into future of camera market
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