Murata Electronics North America announced Friday it will buy San Diego chip-maker Peregrine Semiconductor in a deal valued at $471 million.
Both companies make specialized chips for smartphones and other communications products. Peregrine, founded in 1988, developed a unique technology known as silicon on insulator, or SOI.
After the transaction, Peregrine will become a wholly owned subsidiary of Murata.
“Murata is the world’s leading RF module and filter provider, and we have benefited from our many years of partnership with them. The combination of Murata’s leading products with Peregrine’s leading-edge SOI products will position us to compete aggressively in our chosen markets,” said Jim Cable, chairman and CEO of Peregrine Semiconductor.
The transaction, which has been approved by both companies’ boards of directors, is expected to close by the end of 2014 or early 2015, subject to Peregrine’s stockholders’ approval, regulatory approvals, and other customary closing conditions.
