Semtech (SMTC) Completes Acquisition of Gennum Corporation; Deal Accretive Starting in 2013

Semtech Corporation (Nasdaq: SMTC) and Gennum Corporation (TSX: GND), a supplier of high speed analog and mixed-signal semiconductors for the optical communications and video broadcast markets, announced the successful completion of Semtech's acquisition of Gennum Corporation. Semtech’s agreement to acquire Gennum was announced previously on January 23, 2012.

Semtech estimates that the acquisition will result in at least $15 million in annual cost synergies, which will be achieved in full in Semtech’s fiscal year 2014. Semtech’s management expects that the acquisition will be accretive to non-GAAP earnings per share by more than 20 cents in fiscal year 2013 and more than 40 cents in fiscal year 2014. As a result of the acquisition, Semtech’s results for its first quarter of fiscal year 2013, which will end on April 29, 2012, will include approximately six weeks of Gennum activity.

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