Microchip Technology to Acquire Micrel for $839 Million

On May 7, 2015, Microchip Technology Inc., a leading provider of microcontroller, mixed-signal, analog, and Flash-IP solutions announced that it has signed a definitive agreement to acquire Micrel, Inc., a global manufacturer of IC solutions for the worldwide analog, Ethernet, and high-bandwidth markets, for $14 per share. Wilson Sonsini Goodrich & Rosati is advising Microchip Technology in the transaction.

According to a joint company press release, the acquisition price represents a total equity value of about $839 million, and a total enterprise value of about $744 million, after excluding Micrel's cash and investments on its balance sheet of approximately $95 million. Micrel shareholders may elect to receive the purchase price in either cash or shares of Microchip common stock.

The acquisition has been unanimously approved by the boards of directors of both companies and is expected to close early in the third quarter of calendar 2015, subject to approval by Micrel's shareholders, regulatory approvals, and other customary closing conditions.

The WSGR team advising Microchip Technology includes:

M&A
Robert Ishii, Partner
Mark Woods, Associate
Michelle Fernandes, Associate

Corporate
Robert Suffoletta, Partner

Technology Transactions
Parag Gheewala, Partner
Jennifer McGrew, Associate

Tax
Eileen Marshall, Partner
Myra Sutanto Shen, Associate

Employee Benefits & Compensation
Scott McCall, Partner
Michael Montfort, Counsel

For information, please see Microchip's press release.