Australia markets closed
  • ALL ORDS

    7,331.60
    -88.20 (-1.19%)
     
  • AUD/USD

    0.7829
    -0.0005 (-0.06%)
     
  • ASX 200

    7,097.00
    -75.80 (-1.06%)
     
  • OIL

    64.28
    -0.64 (-0.99%)
     
  • GOLD

    1,826.00
    -11.60 (-0.63%)
     
  • BTC-AUD

    71,030.07
    -3,366.70 (-4.53%)
     
  • CMC Crypto 200

    1,586.14
    +24.84 (+1.59%)
     

CORRECTED-UPDATE 1-Silicon Labs to sell infrastructure and auto unit to Skyworks for $2.75 billion

  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
·1-min read
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.

(Corrects headline to say $2.75 billion, not $27.5 billion)

April 22 (Reuters) - Silicon Laboratories Inc said on Thursday it would sell its infrastructure and automotive business to Skyworks Solutions Inc for $2.75 billion, in a move that would let the chipmaker focus on its core business.

Shares of Silicon Labs were halted in after hours trading, while Skyworks shares were up 3.8% at $190.47.

Austin, Texas-based Silicon Labs has been in recent months focused on the internet-of-things market, selling wireless chips for smart home devices.

The deal includes Silicon Labs' power and isolation, timing and broadcast products, intellectual property and associated employees, the company said in a statement.

Silicon Labs expects to receive $2.3 billion in net proceeds from the deal and will return about $2 billion to shareholders through a combination of special dividends and buybacks.

The deal is expected to close in the third quarter of 2021, the company said. (Reporting by Noor Zainab Hussain and Stephen Nellis; Editing by Ramakrishnan M.)