Microsemi Revises Offer to Acquire PMC

Microsemi increased its proposal to acquire PMC-Sierra to $9.22 in cash and 0.0771x of a share of Microsemi common stock for each share of PMC common stock. The implied enterprise value is $2.3 billion, net of PMC's net cash balance as of Sept. 27, 2015. Based on the closing stock price of Microsemi on Nov. 17, 2015, the transaction is valued at $12.05 per PMC share.

"The board of PMC chose not to recommend to their shareholders our previous proposal, which was $0.17 per share higher than the existing offer from Skyworks," said James J. Peterson, Microsemi's chairman and CEO. "Our revised offer delivers even more value to shareholders and we have addressed PMC's preference in increasing the cash component of our proposal. Because we are not subject to the same uncertainty regarding regulatory approvals, our unique ability to close this transaction represents the best approach to realizing the value of PMC in a timely manner, consistent with the board's fiduciary responsibility to its shareholders."

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