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Filed under: Deals

So far this year, the shares of Atheros Communications (NASDAQ: ATHR) have performed quite nicely, almost doubling. The company develops sophisticated semiconductor solutions for wireless and wired communications.

Now, Atheros wants to bulk up; that is, the company has agreed to pay $244 million for Intellon (NASDAQ: ITLN).

Continue reading Atheros looks for a home run with Intellon

Atheros looks for a home run with Intellon originally appeared on BloggingStocks on Tue, 08 Sep 2009 13:00:00 EST. Please see our terms for use of feeds.

Atheros (ATHR) this morning said it has agreed to acquire Intellon (ITLN), producer of powerline communications technology, for $244 million, or $181 million net of Intellon’s cash.

Terms of the deal call for 45%-55% of the price to be paid in stock, with the rest in cash; Atheros says the deal is valued at $7.30 per Intellon share. Intellon holders can choose either 0.135 Atheros shares and $3.60 in cash; $7.30 in cash, or 0.267 Atheros shares. Overall, Atheros expects to issue 4.2 million to 5.1 million shares, while paying out $115 million to $141 million in cash.

Uh-oh.

Qualcomm (QCOM), Altera (ALTR) and Xilinx (XLNX) have all reduced their wafer start orders for the fourth quarter with their contract semiconductor fabs, according to DigiTimes, which cites “industry sources.”