Digi Times — The acquisition of Richtek Technology by MediaTek will help the analog IC vendor to push sales of its power management (PWM) solutions to the smartphone and TV panel sectors, according to Digitimes Research. Richtek has been shifting its focus to production of PWM ICs for telecommunication and consumer applications instead of its previous emphasis on notebook and motherboard segments amid the declining global PC market.
Digi Times — MediaTek has disclosed plans to acquire an up to 51% stake in Richtek Technology, and is ultimately looking to buy 100% of the fellow Taiwan-based fabless IC firm. MediaTek indicated a unit under the group will purchase 35-51% of Richtek’s total common share capital, based on 51.98-75.74 million common shares outstanding, on the open market. MediaTek will offer NT$195 (US$5.94) per common share of Richtek.
Digi Times — MediaTek and Richtek Technology have both denied speculation that the two fabless IC firms will merge. Speculation circulated recently in Taiwan’s IC design industry that analog IC supplier Richtek is MediaTek’s next acquisition target, as the island’s leading IC design company is looking to expand its business scope.