Integrated Device of Santa Clara, Calif., said in June it would pay $1.7 billion for Integrated Circuit of Norristown, Pa. The combined company will take the proud Integrated Device name.
"This merger represents an important step in the transformation of IDT," said Integrated Device chief Greg Lang. "We provide our customers with a broad range of vital solutions, utilizing advanced timing, switching, buffering, and packet-processing technologies. The combination of ICS's leadership position in clocks and IDT's success in the communications market provides our combined customer base with a full suite of leadership solutions to today's challenging system design problems. Furthermore, we expect to achieve significant operating and manufacturing cost synergies as a combined company."
"We are excited about the pending close of the merger," said Integrated Circuit chief Hock Tan. "Our customers and shareholders should experience significant benefits from the merger of these two strong companies. We are now quickly moving to the implementation and integration phase."
On Friday, Integrated Device rose a nickel to $21.68 and Integrated Circuit rose 2 cents to $11.13.