ON Semiconductor Completes Acquisition of Quantenna Communications
June 19 2019 - 9:00AM
Business Wire
Acquisition strengthens ON Semiconductor’s
capabilities in advanced connectivity applications for Industrial,
Automotive, and Carrier markets
ON Semiconductor Corporation (Nasdaq: ON) (“ON Semiconductor”)
announced today that the company has successfully completed its
previously announced acquisition of Quantenna Communications, Inc.
(Nasdaq: QTNA) (“Quantenna”) for $24.50 per share in an all cash
transaction.
“The combination of Quantenna’s industry leading Wi-Fi
technologies and ON Semiconductor’s leadership in power and analog
semiconductors, coupled with the combined company’s broad sales and
distribution reach, creates a formidable platform to address
connectivity applications in industrial, automotive, and carrier
markets,” said Keith Jackson, president and chief executive officer
of ON Semiconductor. “I am pleased to welcome the employees of
Quantenna to ON Semiconductor, and I look forward to the
opportunities this acquisition will create for our customers,
shareholders, and employees.”
Quantenna will be integrated into ON Semiconductor’s Analog
Solutions Group, headed by Vince Hopkin.
About ON Semiconductor
ON Semiconductor (Nasdaq: ON) is driving energy efficient
innovations, empowering customers to reduce global energy use. The
Company is a leading supplier of semiconductor-based solutions,
offering a comprehensive portfolio of energy efficient power
management, analog, sensors, logic, timing, connectivity, discrete,
SoC, and custom devices. The Company’s products help engineers
solve their unique design challenges in automotive, communications,
computing, consumer, industrial, medical, aerospace, and defense
applications. ON Semiconductor operates a responsive, reliable,
world-class supply chain and quality program, a robust compliance
and ethics program, and a network of manufacturing facilities,
sales offices, and design centers in key markets throughout North
America, Europe, and the Asia Pacific regions. For more
information, visit www.onsemi.com.
ON Semiconductor and the ON Semiconductor logo are registered
trademarks of Semiconductor Components Industries, LLC. All other
brand and product names appearing in this document are registered
trademarks or trademarks of their respective holders. Although the
Company references its website in this news release, information on
the website is not to be incorporated herein.
Cautions regarding Forward-Looking Statements
This document contains forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995.
These forward-looking statements include, but are not limited to,
statements related to: the expectation that the combination of
Quantenna and ON Semiconductor creates a formidable platform to
address connectivity applications in industrial and automotive
end-markets; and the anticipated opportunities the acquisition will
create for ON Semiconductor's customers, shareholders, and
employees. These forward-looking statements are based on
information available to us as of the date of this release and
current expectations, forecasts and assumptions and involve a
number of risks and uncertainties that could cause actual results
to differ materially from those anticipated by these
forward-looking statements. Such risks and uncertainties include a
variety of factors, some of which are beyond our control. In
particular, such risks and uncertainties include, but are not
limited to: the risk that there may be a material adverse change of
ON Semiconductor or Quantenna, or our respective businesses may
suffer as a result of uncertainty surrounding the transaction; the
transaction may involve unexpected costs or liabilities;
difficulties encountered in integrating Quantenna, including the
potentially accretive and synergistic benefits; difficulties
leveraging desired growth opportunities and markets; the
possibility that expected benefits and cost savings may not
materialize as expected; our revenue and operating performance;
economic conditions and markets (including current financial
conditions); risks related to our ability to meet our assumptions
regarding outlook for revenue and gross margin as a percentage of
revenue; effects of exchange rate fluctuations; the cyclical nature
of the semiconductor industry; changes in demand for our products;
changes in inventories at our customers and distributors;
technological and product development risks; enforcement and
protection of our intellectual property rights and related risks;
risks related to the security of our information systems and
secured network; availability of raw materials, electricity, gas,
water and other supply chain uncertainties; our ability to
effectively shift production to other facilities when required in
order to maintain supply continuity for our customers; variable
demand and the aggressive pricing environment for semiconductor
products; our ability to successfully manufacture in increasing
volumes on a cost-effective basis and with acceptable quality for
our current products; risks associated with other acquisitions and
dispositions, including our ability to realize the anticipated
benefits of our acquisitions and dispositions; risks that
acquisitions or dispositions may disrupt our current plans and
operations, the risk of unexpected costs, charges or expenses
resulting from acquisitions or dispositions and difficulties
arising from integrating and consolidating acquired businesses, our
timely filing of financial information with the SEC for acquired
businesses and our ability to accurately predict the future
financial performance of acquired businesses; competitor actions,
including the adverse impact of competitor product announcements;
pricing and gross profit pressures; loss of key customers or
distributors; order cancellations or reduced bookings; changes in
manufacturing yields; control of costs and expenses and realization
of cost savings and synergies from restructurings; significant
litigation; risks associated with decisions to expend cash reserves
for various uses in accordance with our capital allocation policy
such as debt prepayment, stock repurchases or acquisitions rather
than to retain such cash for future needs; risks associated with
our substantial leverage and restrictive covenants in our debt
agreements that may be in place from time to time; risks associated
with our worldwide operations, including changes in trade policies,
foreign employment and labor matters associated with unions and
collective bargaining arrangements, as well as man-made and/or
natural disasters affecting our operations or financial results;
the threat or occurrence of international armed conflict and
terrorist activities both in the United States and internationally;
risks of changes in U.S. or international tax rates or legislation,
including the impact of the recent U.S. tax legislation; risks and
costs associated with increased and new regulation of corporate
governance and disclosure standards; risks related to new legal
requirements; risks associated with the addition of Huawei
Technologies Co., Ltd. and its non-U.S. affiliates and subsidiaries
to the U.S. Department of Commerce, Bureau of Industry Security
Entity List; and risks involving environmental or other
governmental regulation. Information concerning additional factors
that could cause results to differ materially from those projected
in the forward-looking statements is contained in ON
Semiconductor’s Annual Report on Form 10-K for the year ended
December 31, 2018, filed with the SEC on February 20, 2019,
Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and
other of ON Semiconductor’s filings with the Securities and
Exchange Commission. These forward-looking statements are as of the
date hereof and should not be relied upon as representing our views
as of any subsequent date, and we do not undertake any obligation
to update forward-looking statements to reflect events or
circumstances after the date they were made, except as may be
required by law. For additional information, visit ON
Semiconductor’s corporate website, www.onsemi.com, or for official filings visit the
SEC website, www.sec.gov.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20190619005441/en/
Sarah RockeyCorporate Media CommunicationsON
Semiconductor(602) 244-5910sarah.rockey@onsemi.com
Parag AgarwalVice President - Investor
Relations & Corporate DevelopmentON Semiconductor(602)
244-3437parag.agarwal@onsemi.com
QUANTENNA COMMUNICATIONS INC (NASDAQ:QTNA)
Historical Stock Chart
From May 2024 to Jun 2024
QUANTENNA COMMUNICATIONS INC (NASDAQ:QTNA)
Historical Stock Chart
From Jun 2023 to Jun 2024