SiTime to Acquire Renesas’ Timing Business
View original at finance.yahoo.comSiTime to Acquire Renesas’ Timing Business Acquired Business Expected to Generate $300 Million in Revenue in 12 Months Post-Close, with 70% Gross Margin High-Growth AI Datacenter-Comms Represents ~75% of Acquired Revenue Accelerates SiTime’s Path to $1 Billion of Revenue as the Premier Pure-Play Precision Timing Compan…
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With Renesas' timing business, SiTime will increase its clocking portfolio by more than 10x and extend its reach in the fastest growing applications in the timing market, including comms, enterprise and datacenter
80% confidenceThis acquisition is a monumental milestone toward fulfilling our vision to transform the timing market and solve our customers' toughest timing challenges
80% confidenceThis milestone is another step forward toward Renesas' 2035 Aspiration and becoming a top-three embedded semiconductor solution supplier
80% confidenceOne of SiTime's strategies is to integrate resonators into MCUs and power management ICs to provide size, performance and power benefits to semiconductor companies
80% confidenceThese applications are expected to represent more than 60% of SiTime's revenue post-acquisition
80% confidenceSiTime's strong cash flows are expected to support rapid de-levering to less than 2x within 24 months post-close
80% confidenceThe acquisition will deliver exceptional value for shareholders as SiTime builds on its strong record of financial performance
80% confidenceThe acquisition is expected to expedite SiTime's progress toward the upper end of its 60-65% gross margin target while maintaining its targeted long-term annual revenue growth rate of 25-30%
80% confidenceThe acquisition is expected to be accretive to SiTime's non-GAAP earnings per share in the first year post-close
80% confidenceRenesas looks forward to exploring opportunities for strategic collaboration with SiTime to deliver integrated solutions that power the next generation of intelligent devices
80% confidenceThis transaction allows Renesas to sharpen its focus on embedded compute leadership while ensuring customers have access to SiTime's cutting-edge MEMS timing technology
80% confidence
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