Spansion to Acquire Microcontroller and Analog Business from Fujitsu
SUNNYVALE, Calif., TOKYO and YOKOHAMA, Japan, April 29, 2013 — Spansion Inc. (NYSE: CODE), a leading innovator of Flash memory solutions, and Fujitsu Semiconductor Limited, a wholly owned subsidiary of Fujitsu Limited, today announced they have executed a definitive agreement for Spansion to acquire the Microcontroller and Analog Business of Fujitsu Semiconductor for approximately $110 million, plus approximately $65 million(1) for inventory. The net impact is expected to be accretive for Spansion in 2013.
"This acquisition provides incremental revenue and aligns with our strategy to expand into system-on-chip solutions that require leadership in embedded Flash technology," said John Kispert, president and CEO of Spansion. "We will gain valuable people and intellectual property as well as microcontroller and analog products that will enable us to expand our customer base, addressing complete embedded systems requirements in automotive, industrial and consumer markets. We have been strategic partners with Fujitsu Semiconductor for decades and share many of the same customers. We expect a seamless transition for all of the employees and customers."
"In our pursuit of maximized corporate value, together with Fujitsu Semiconductor Limited, we have executed a management decision based on the restructuring initiatives we are taking in our semiconductor business," said Masami Yamamoto, president of Fujitsu Limited. "We are confident that our customers will benefit from the enormous synergies anticipated. Our employees will also benefit by being a part of Spansion, which has a complementary and differentiated product portfolio based on its world-leading nonvolatile memory technologies."
Embedded nonvolatile memory has become one of the most important differentiators within the microcontroller market and addresses customers' needs for faster and more intelligent devices for a range of embedded applications. Spansion's Flash technology along with the acquired microcontroller and analog products and talent accelerates a portfolio of high-performance system-on-chip solutions for use in the development of faster, more intelligent and energy-efficient products as well as next generation of the "Internet of everything" in automotive, industrial and consumer applications.
The acquisition is subject to various customary closing conditions and is expected to be complete between July and September of 2013.