Merger Mania

With the Philadelphia SOX up 21% this year, everyone’s thinking: ‘What can I do with my shiny new share price?’

RF Micro bought Triquint, Analog Devices bought Hittite Microwave, Qualcomm bought Wilocity, EZchip bought Tilera, AMS and Dialog are talking merger, CSR sold its Israeli imaging unit to Qualcomm, ST has used its super new share price to sell $1 billion worth of bonds today.

The rising share price tide is making semiconductor managements frisky.

An added inducement for US semiconductor companies is the ‘tax-inversion’ wheeze where they use their cash which is stashed abroad for tax-avoidance purposes to buy foreign companies.

Rest assured that semi CEOs are getting multiple calls from Wall Street-ers suggesting deals in which they can act as deal-maker for a fee.

Which means that a lot of these deals are going to turn out to be bummers.

Tags: analog devices, qualcomm, share price

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