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Silicon Labs explores breakup, sale of analog chip unit - Bloomberg News

Published 02/19/2021, 03:05 PM
Updated 02/19/2021, 03:10 PM
© Reuters

(Reuters) - Silicon Laboratories (NASDAQ:SLAB) Inc is considering a potential breakup and exploring the sale of its analog chip unit, Bloomberg News reported on Friday.

The analog chip business could be worth $2 billion to $3 billion or more, Bloomberg reported, citing sources.

Shares of the company rose as much as 10.5% to a record of $162.92 in afternoon trading. (https://bloom.bg/3dtMrGD)

Silicon Labs declined to comment on the report.

The semiconductor industry has undergone a wave of consolidation in recent months, with firms such as Nvidia (NASDAQ:NVDA) Corp, Advanced Micro Devices (NASDAQ:AMD) Inc and Marvell (NASDAQ:MRVL) Technology all announcing multibillion dollar deals.

The deal could attract interest from other semiconductor companies and Silicon Labs is working with a financial adviser on selling the unit, according to the Bloomberg report.

The report added that a final decision regarding the deal has not been made.

 

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