Boston, MA 04/25/2014 (wallstreetpr) – TriQuint Semiconductor (NASDAQ:TQNT) has pegged a revenue estimate for the second quarter of this year between $215 million to $225 million. For this same period, non-GAAP net income is estimated to be in the range of $0.06 and $0.08 on the expected number of 180 million diluted shares.
Strategic mergers
TriQuint Semiconductor (NASDAQ:TQNT) and RF Micro Devices, Inc. (NASDAQ:RFMD) have reached a definitive merger agreement wherein both these companies will combine in an all-stock transaction to create a new entity with combined revenue of over $2 billion. The new company will be given a brand new name and will have a leadership team that is shared by both. This move has been made in an attempt to project this deal as a merger of equals. The boards of both TriQuint and RFMD have unanimously given approval to the deal. The former shareholders of TriQuint and RFMD will each own close to 50% of the new entity after merger. This transaction is expected to close in the second half of this year. The total consideration for this deal is nearly $1.6 billion and will enable the new company to capture a bigger pie of the chip market which essentially supplies to Apple Inc and Samsung Electronics Co Ltd.
RFMD CEO Bob Bruggeworth’s name is coming up as the potential Chief Executive of the new company while TriQuint Semiconductor (NASDAQ:TQNT) CEO Ralph Quinsey is expected to serve as the non executive chairman. BofA Merrill Lynch is the financial advisor to RFMD. Perkins Coie is the counsel for TriQuint while Goldman Sachs is serving as the exclusive financial advisor to TriQuint. Womble Carlyle Sandridge & Rice LLP and Weil, Gotshal & Manges LLP are acting as the legal counsel for RFMD.
Key developments
A global microwave products maker, RF-Lambda, has selected TriQuint Semiconductor (NASDAQ:TQNT) for its new line of amplifiers. Based on the TriQuint gallium nitride (GaN) power transistors, this line of high power amplifiers is being used in RF-Lambda’s new products that are presently being qualified in a defense flight system, commercial 4G systems and other aerospace/defense projects.
