Quorum Systems designs integrated complementary metal oxide semiconductor (CMOS) radio frequency (RF) transceivers. Under terms of the agreement, Spreadtrum will pay $15m in stock along with $55m in cash for the acquisition, with up to an additional $6m in cash for performance based earn-outs over the next two years.
According to Spreadtrum, the acquisition will strengthen its position in the mobile wireless communications market
Quorum’s design team brings an average of 10 years of CMOS RF semiconductor experience to Spreadtrum, further increasing our R&D capabilities, said Dr Ping Wu, president and chief executive at Spreadtrum.
Our industry leading CMOS RF transceivers are an excellent complement to Spreadtrum’s unique baseband solutions, with strong synergies, and together, we can make further inroads into the market, said Dr Bernard Xavier, president and chief executive of Quorum.
The acquisition is expected to close by December 31, 2007.
Spreadtrum’s competitor Broadcom also acquired fabless semiconductor manufacturer Global Locate in July 2007 to expand its product portfolio.
Source: ComputerWire daily updates
