Fairchild Semiconductor announced plans to acquire all of the outstanding shares of System General Corp. on Tuesday, offering to buy the Taiwan firm for $200 million.
Fairchild plans on purchasing the analog power management semiconductor supplier for $2.87 per share in cash through a wholly owned Fairchild subsidiary.
In the proposed transaction, approximately 250 System General employees will join Fairchild, including the current management team, the company said in a statement. After the completion of the transaction, System General will become a wholly owned Fairchild subsidiary.
Fairchild said it expects the acquisition to have no impact to its earnings per share in 2007 and to affect earnings per share in 2008 and beyond.
The company has also recently announced intentions to undergo a large-scale restructuring plan that includes job cuts and outsourcing over the next year.