AMIS to buy Dspfactory to strengthen DSP design capabilities

Pocatello, ID; Waterloo, Ontario, Canada—To give it added experience in hardware and product design and help it develop future, AMIS Holdings Inc. recently agreed to buy Dspfactory Ltd. for $42.35 million in cash and restricted stock


Pocatello, ID; Waterloo, Ontario, Canada— To give it added experience in hardware and product design and help it develop future, AMIS Holdings Inc. recently agreed to buy Dspfactory Ltd. for $42.35 million in cash and restricted stock, plus a potential added payment of $8.5 million in stock upon achievement of certain milestones before the end of 2006. AMIS Holdings is the parent company of AMI Semiconductor, a designer and manufacturer of integrated mixed-signal products and structured digital products for the automotive, medical and industrial sectors. Dspfactory provides ultra-low power digital signal processing (DSP) technology for digital hear-ing aids and other low-power medical devices.

AMIS says the acquisition gives it mixed-signal DSP experience in hardware and product design, as well as software experience in algorithm development for the medical and industrial markets. The company also will assume certain assets and liabilities of Dspfactory, including its facilities and operations in Waterloo and a design center in Marin, Switzerland. This will expand AMI Semiconductor’s reach into the North American and European markets.

“The Dspfactory acquisition will benefit our customers by further expanding the breadth of our already strong analog design expertise,” says Christine King, AMI's president and CEO. “We look forward to closing the transaction within the next 60 days and integrating Dspfactory into the AMIS team, significantly enhancing the company’s portfolio of solutions for real world medical and industrial applications.”

Dspfactory has developed a proprietary DSP-based mixed-signal platform with unique intellectual property. With this technology, AMIS will be able to provide increased DSP functionality in applications, such as advanced hearing aids, implantable and diagnostic applications in the medical market, and motor control applications in the industrial market. This will allow AMIS to provide greater customer value and expand its market reach. Also, with this low-power DSP technology in-house, AMIS will be able to get solutions to market faster.

“By joining the AMI Semiconductor team, we will leverage the strengths of both companies to provide leading medical and industrial solutions,” says Robert Tong, Dspfactory's CEO. “We believe our unique low-power DSP technology will take on a new life with AMIS and we look forward to a bright future as part of the company.”

Control Engineering Daily News Desk
Jim Montague, news editor

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