|
Jazz Semiconductor acquired by new ‘blank check’ company |
|
|
|
Sep 29, 2006 at 02:33 PM |
 Acquicor Technology Inc., a recently formed acquisition company, have acquired Jazz Semiconductor, a loss-making specialist foundry in an all-cash transaction valued at $260 million. Acquicor's well known founders include Steve Wozniak, Gil Amelio and Ellen Hancock.
Jazz was formed in March 2002 as a joint venture between Conexant and
The Carlyle Group, a private equity firm. Conexant held a 42 percent
stake in the company and expects to receive approximately $100 million
from the deal. The Carlyle Group's share was not disclosed.
Acquicor is led by industry veteran Gilbert F. Amelio, former chairman
and chief executive officer of Apple Computer, Inc. and former chairman
and chief executive officer of National Semiconductor Corporation. Mr.
Amelio also served as the president of Rockwell Communications Systems,
a semiconductor manufacturing division of Rockwell International
Corporation, which was later spun-off as Conexant Systems, Inc. In that
capacity, Mr. Amelio was responsible for operation of the fab in
Newport Beach, California.
"Jazz has been an important supplier for Conexant since its inception,
and I expect our relationship to continue," said Dwight W. Decker,
Conexant chairman and chief executive officer. "Over the past four
years, the Jazz team has consistently made outstanding progress on all
fronts in a highly competitive environment. The company began
manufacturing for just Conexant and its spin-off companies and is now a
supplier to almost 100 new customers from all over the industry. I
expect that the merged company and senior management team will continue
to build on this record of success."
Following the acquisition, Jazz will become a wholly owned subsidiary
of Acquicor, which is a public company and will continue to operate as
Jazz Semiconductor. Completion of the merger is expected to occur in
the first quarter of 2007. Shu Li, current chief executive officer of
Jazz Semiconductor, is expected to remain in that position.
"This merger reinforces Jazz Semiconductor's long-term strategic focus
on a successful specialty foundry business model," said Shu Li,
president and chief executive officer of Jazz. "The experience the
Acquicor team brings to Jazz underscores our commitment to being a
leading technology company."
|
