Microchip Technology Incorporated, a leading provider of microcontroller, analog and Flash-IP solutions, announced the consummation of the sale of certain non-core assets from its Silicon Storage Technology (SST) subsidiary. The product lines sold included NAND Drives, NAND controllers, Smart Card ICs, Combo Memory, Concurrent SuperFlash, Small-Sector Flash and many-time Programmable Flash memories. The buyer, Greenliant Systems Ltd., is a new company founded by Mr. Bing Yeh, the ex-Chairman and CEO of SST. The sale included inventory, equipment, intellectual property and certain other assets and liabilities associated with the product lines. Approximately 100 employees (18% of SST’s workforce) transferred to Greenliant as part of this transaction. SST also agreed to provide certain transition services to Greenliant for up to 90 days. The terms of the transaction were not disclosed.
Microchip Technology Incorporated (NASDAQ:MCHP), a leading provider of microcontrollers and analog semiconductors, announced that it has signed a definitive agreement to acquire Silicon Storage Technology, Inc. (Nasdaq:SSTI) for $2.85 per share in cash. The $2.85 per share represents an approximate 35.7% premium to the amount that the holders of SST common stock would have received under the previously announced merger agreement between SST and Technology Resources Holdings, Inc., and an approximate 53.2% premium to the closing price per share of SST’s stock on November 12, 2009, the last day of trading prior to the announcement of the execution of the definitive merger agreement with Technology Resources Holdings, Inc. As separately announced by SST, SST has terminated its previously announced merger agreement prior to entering into the definitive agreement with Microchip.