In recent years, Microsemi has grown through a series of mergers and acquisitions, especially in the aerospace and defense fields. Microsemi hopes to further expand in the aerospace and defense fields through this transaction. As a buyer, Microchip currently has a relatively weak sense of presence in the aerospace and defense markets, accounting for only about 2% of its annual sales

1. Will the largest acquisition in the semiconductor industry be completed
successfully
With the continuous development of the market, the company mergers and acquisitions become
the norm, this is also an effective way to expand the size of the market, recently in the
semiconductor industry, the most striking deals.
On May 15, 2018, Microchip, a supplier of microcontrollers, mixed-signal, analog and Flash IP
solutions, announced that it will formally acquire Microsemi, the largest commercial supplier of
military and aerospace semiconductor equipment in the United States.
Microchip stated that this acquisition has been formally approved by the Ministry of Commerce
of China, the Fair Trade Commission of Japan, the Philippine Competition Commission, the
Austrian Federal Competition Authority, and the German Joint Federal Agency for Enterprises.
However, the transaction needs to be completed through the consent of the Taiwan Fair Trade
Commission and Midosumi US shareholders. If these conditions be met , Microchip expects to
complete the acquisition from late May to lateJune 2018.
If the conditions be met , Microchip expects to complete the acquisition from late May to late
June 2018.
After the news was reported, the shares of the US Gomez shares rose 1.2% on Tuesday to close at
$68.55, slightly lower than the bid price of $68.78. Microchip declined slightly by 0.1% to
US$93.36.
On January 20, 2016, Microchip announced that it had acquired Atmel, a competitor, for US$3.56
billion in cash+equity, and its ranking in the MCU field has risen from No. 5 to No. 3 in the world.
On March 1, 2018, Microchip announced a $8.55 billion acquisition of Microsemi, which is the
largest semiconductor transaction so farthis year.
The deal will significantly expand Microchip's market share in multiple end markets, including
markets for communications, aerospace and defense. These market areas account for about 60%

2. of Microsemi's sales. Microchip has stated that this acquisition will expand the market size of its
services from US$18 billion to more than US$50 billion.
In recent years, Microsemi has grown through a series of mergers and acquisitions, especially in
the aerospace and defense fields. Microsemi hopes to further expand in the aerospace and
defense fields through this transaction. As a buyer, Microchip currently has a relatively weak
sense of presence in the aerospace and defense markets, accounting for only about 2% of its
annual sales.
The acquisition of Microsemi will not only strengthen its ability in this field, but will also enhance
Microchip's fundamental strengths in computing and communications, which previously
accounted for less than 15% of its annual sales.
Steve Sanghi, Microchip's chairman and chief executive, said: "Microchip will always regard
value-added acquisition as a key strategy for continued growth and shareholder value. The
acquisition of Microsemi is the latest chapter of this strategy and will further expand our business
and customers. The leading position on scale."
About Microchip Technology
Source: Microchip Technology Inc and wiki
Microchip Technology is an American manufacturer of microcontroller, memory and analog
semiconductors. Its products include microcontrollers (PICmicro, dsPIC / PIC24, PIC32, AVR,
AVR32 and SAM), Serial EEPROM devices, Serial SRAM devices, KEELOQ devices, radio frequency
(RF) devices, thermal, power and battery management analog devices, as well as linear, interface
and mixed signal devices. Some of the interface devices include USB, ZigBee/MiWi, Controller
Area Network, LoRa, SIGFOX and Ethernet.Corporate headquarters is located at Chandler, Arizona
with wafer fabs in Tempe, Arizona, Gresham, Oregon and Colorado Springs, Colorado,
assembly/test facilities in Chachoengsao, Thailand and Calamba, Philippines. Sales for the fiscal
year ending on March 31, 2016 were $2,173,334,000.For more information, visit the Microchip
website at http://www.microchip.com.
About Microsemi

3. Source: Microsemi
Microsemi Corporation (Nasdaq:MSCC) offers a comprehensive portfolio of semiconductor and
system solutions for aerospace & defense, communications, data center and industrial markets.
Products include high-performance and radiation-hardened analog mixed-signal integrated
circuits, FPGAs, SoCs and ASICs; power management products; timing and synchronization
devices and precise time solutions, setting the world's standard for time; voice processing devices;
RF solutions; discrete components; enterprise storage and communication solutions, security
technologies and scalable anti-tamper products; Ethernet solutions; Power-over-Ethernet ICs and
midspans; as well as custom design capabilities and services. Microsemi is headquartered in Aliso
Viejo, California, and has approximately 4,800 employees globally.
Note: The Microchip name and logo are registered trademarks of Microchip Technology Inc. in
the USA and other countries. All other trademarks mentioned herein are the property of their
respective companies.