CHIP DESIGNER DIALOG CONFIRMS $6.5B BID FOR RENESAS

Dialog Semiconductor, whose clients include Apple, confirmed on Sunday it was in advanced talks with Renesas Electronics Corp. about a potential sale, valuing it at around $6 billion, Reuters reported.

The discussions centered on a possible cash offer of 67.50 euros per share in British-based chip designer Dialog, the company said in a statement, representing a 20% premium to the Friday closing stock price of 56.12 euros, when it had a market capitalization of around 4.3 billion euros ($5.2 billion).

“A further announcement will be made as and when appropriate. There can be no certainty that any firm offer will be made for the Company, nor as to the terms on which any firm offer might be made,” it added.

Frankfurt-listed Dialog said that Renesas is required by regulation to either announce a firm intention to make an offer for by 1700 GMT on March 7, or say it does not intend to do so. Renesas could not immediately be reached for comment.

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