Skyworks to Purchase the Infrastructure & Automotive Business of Silicon Labs

• Demonstrated, Highly Rewarding Company Product Aligned with Skyworks’ Method

• Envisioned to be Quickly Accretive

• Accelerates Earnings Diversification

• Complementary Product Portfolio in Interesting Finish Markets

• Combined Market place Chance Approaching $20 Billion Per year

Skyworks Methods, Inc. (Nasdaq: SWKS), an innovator of superior-functionality analog semiconductors connecting folks, areas and things, today introduced that it has entered into a definitive agreement with Silicon Laboratories Inc. (Nasdaq: SLAB), a leading service provider of silicon, application and answers for a smarter, more connected world, below which Skyworks will acquire the Infrastructure & Automotive enterprise of Silicon Labs in an all-money asset transaction valued at $2.75 billion.

Over the earlier two decades, Silicon Labs has developed the Infrastructure & Automotive business into a leader in each of its target markets, furnishing ideal-in-course answers to a highly diversified shopper foundation. The acquisition encompasses the technological know-how portfolios and associated assets of Silicon Labs’ power/isolation, timing and broadcast products strains, which are really complementary to Skyworks’ connectivity portfolio.

The acquisition will accelerate Skyworks’ enlargement into the industry’s most essential growth segments, such as electric powered and hybrid cars, industrial and motor command, electrical power offer, 5G wi-fi infrastructure, optical data conversation, data center, automotive, clever household and a number of other apps. Skyworks will be uniquely positioned to address a combined market option approaching $20 billion each year.

Mark Thompson, senior vice president of Silicon Labs and basic supervisor of the Infrastructure & Automotive business, will join Skyworks as element of the transaction, reporting instantly to Liam K. Griffin, president and chief govt officer of Skyworks. In addition, around 350 employees, which include the senior management team of the business, are envisioned to sign up for Skyworks upon completion of the transaction.

Story carries on

“We are pleased to welcome the Infrastructure & Automotive group to Skyworks when this transaction is completed,” reported Mr. Griffin. “This acquisition will broadly expand our capabilities throughout substantial-growth conclude marketplaces including automotive, communications and industrial, creating new and hugely persuasive prospects for Skyworks. By leveraging our international revenue channels, operational scale and deep consumer associations, Skyworks is effectively positioned to generate previously mentioned-marketplace expansion, even though diversifying revenues, expanding margins and offering potent returns in earnings and money generation.”

“With our companies’ shared cultures of structure excellence and purchaser collaboration, I am assured that the Infrastructure & Automotive group will continue their many years-long record of delivering marketplace-foremost improvements,” reported Silicon Labs CEO Tyson Tuttle. “Silicon Labs and Skyworks will companion to be certain a seamless changeover for clients, suppliers and workers.”

Skyworks expects the transaction to be straight away accretive and to accelerate the route to Skyworks acquiring its concentrate on fiscal product. The transaction, which is expected to close all through the 3rd calendar quarter of 2021, has been authorised by the boards of directors of each corporations and is subject matter to customary closing situations, which includes regulatory approvals.

Skyworks expects to fund the transaction with a mix of income on hand and fully commited credit card debt financing arranged by J.P. Morgan.

Conference Phone and Webcast

Skyworks will host a convention call with analysts currently at 5 p.m. EDT. To listen to the meeting phone through the Web, remember to pay a visit to the trader relations area of Skyworks’ site. To hear to the convention simply call by means of phone, you should call (844) 583-4549 (domestic) or (825) 312-2257 (global), Meeting ID: 8392854.

Playback of the conference simply call will begin at 9 p.m. EDT on Apr. 22, 2021, and finish at 9 p.m. EDT on Apr. 28, 2021. The replay will be accessible on Skyworks’ site or by contacting (800) 585-8367 (domestic) or (416) 621-4642 (worldwide), Conference ID: 8392854.

About Skyworks

Skyworks Answers, Inc. is empowering the wi-fi networking revolution. Our really progressive analog semiconductors are connecting persons, destinations and items spanning a number of new and earlier unimagined programs inside of the aerospace, automotive, broadband, cellular infrastructure, linked residence, industrial, health-related, armed forces, smartphone, tablet and wearable markets.

Skyworks is a world company with engineering, advertising and marketing, operations, income and help amenities situated throughout Asia, Europe and North The united states and is a member of the S&P 500^® and Nasdaq-100^® industry indices (Nasdaq: SWKS). For additional details, remember to go to Skyworks’ web site at: www.skyworksinc.com.

About Silicon Labs

Silicon Labs is a primary service provider of silicon, application and remedies for a smarter, a lot more connected environment. Our award-successful systems are shaping the upcoming of the Net of Points, World wide web infrastructure, industrial automation, purchaser and automotive markets. Our entire world-course engineering staff creates items focused on effectiveness, strength personal savings, connectivity and simplicity. silabs.com

Safe and sound Harbor Statement

Any ahead-on the lookout statements contained in this press launch are meant to qualify for the safe harbor from legal responsibility proven by the Private Securities Litigation Reform Act of 1995. These forward-on the lookout statements involve, without having limitation, information and facts pertaining to the transaction concerning Skyworks and Silicon Labs, the envisioned timetable for finishing the transaction, long term financial and operating results, the advantages, synergies and accretion relevant to the transaction and any other statements by the management of Skyworks or Silicon Labs relating to future anticipations, beliefs, objectives, plans or prospective buyers. Forward-wanting statements can normally be discovered by phrases these as “anticipates,” “expects,” “forecasts,” “intends,” “believes,” “options,” “may,” “will” or “continue on,” and very similar expressions and variants or negatives of these terms. Real situations and/or results may possibly differ materially and adversely from these ahead-seeking statements as a result of selected challenges and uncertainties together with, but not confined to, the prevalence of any occasion, transform or other circumstances that could give increase to the termination of the invest in agreement the outcome o
f any legal proceedings that could be instituted in opposition to Skyworks or Silicon Labs, or their respective boards of directors, relevant to the purchase settlement the capability to satisfy the closing problems of the transaction when expected or at all, which include the receipt of all regulatory approvals similar to the transaction, and the means to near the transaction the ability of Skyworks to receive the vital financing preparations established forth in the personal debt dedication letter delivered pursuant to the buy settlement the ability of Skyworks to productively integrate the assets acquired and employees transferred pursuant to the order settlement the hazard that Skyworks may not notice the expected added benefits from the transactions contemplated by the order agreement the availability and pricing of third-get together semiconductor foundry, assembly and examination potential, uncooked supplies and provider elements the cyclical mother nature of the semiconductor industry hazards that the proposed transaction disrupts current options and operations and the potential troubles in personnel retention as a final result of the transaction Skyworks’ skill to get hold of structure wins from buyers technological and item development challenges enforcement and safety of mental house legal rights and connected dangers challenges linked to the stability of our data units and secured networks adjustments in regulations, rules and/or guidelines that could adversely impact Skyworks’ or Silicon Labs’ operations and fiscal outcomes, the financial system, shopper desire for products, the economical markets or the effects of trade charge fluctuations threats of improvements in U.S. or international tax prices or legislation the consequences of the international COVID-19 pandemic the outcomes of regional and nationwide financial, credit history and cash marketplace circumstances on the economic system in standard and other hazards and uncertainties described herein, as very well as those people pitfalls and uncertainties reviewed from time to time in our other reports and other community filings with the Securities and Exchange Fee (“SEC”), which include, but not constrained to, individuals specific in Skyworks’ Once-a-year Report on Sort 10-K for the yr finished Oct 2, 2020 (and/or its most recent Quarterly Report on Kind 10-Q), submitted with the SEC and in Silicon Labs’ Once-a-year Report on Sort 10-K for the 12 months ended January 2, 2021 (and/or its most recent Quarterly Report on Variety 10-Q), filed with the SEC. Any forward-wanting statements contained in this press release are created only as of the day hereof and really should not be relied upon as representing our sights as of any subsequent day, and we undertake no obligation to update or revise the forward-on the lookout statements, whether or not as a result of new information, upcoming events or normally.

Observe to Editors: Skyworks and the Skyworks image are trademarks or registered trademarks of Skyworks Remedies, Inc., or its subsidiaries in the United States and other countries. Silicon Laboratories, Silicon Labs, the “S” symbol, the Silicon Laboratories logo and the Silicon Labs symbol are logos of Silicon Laboratories Inc.

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