Cadence has entered into a definitive agreement to acquire Tensilica for approximately $380 million in cash. Tensilica had approximately $30 million of cash as of December 31, 2012.
Tensilica provides configurable dataplane processing units that are optimized for embedded data and signal processing targeted at mobile wireless, network infrastructure, auto infotainment and home applications.
Lip-Bu Tan (President and CEO, Cadence): With Tensilica, we will be able to provide designers with a more complete SoC solution that will speed the development of innovative and differentiated products, while reducing time to market.
Cadence intends to finance the transaction with available cash and an existing revolving credit facility. The transaction is expected to close in the second quarter of fiscal 2013, subject to customary closing conditions including regulatory approvals. Tensilica had approximately $30 million of cash as of December 31, 2012.
[Image courtesy: Tensilica]