Murata Electronics North America signed a definitive agreement to acquire RF Monolithics (RFM) in an all-cash transaction. RFM provides wireless connectivity for a broad range of wireless applications—from individual standardized and custom components to modules for comprehensive industrial wireless sensor networks and machine-to-machine (M2M) technology.
"RFM's proven success in developing business in the healthcare, energy and industrial markets compliments Murata's growth strategy," said David M. Kirk, president and CEO of Murata Electronics North America, the regional headquarters of Murata Americas. "Additionally, leveraging RFM's expertise in design and development of production-ready RF modules, SAW-based and RFIC short-range radios, standalone radio systems and platforms for M2M applications will enable Murata to increase the value of the wireless module solutions delivered to Murata's existing and future customers in the global marketplace."
Targeted to close next quarter, the deal will pay the holders of RFM common shares $1.78 per share. "We believe that the transaction with Murata Electronics North America offers a substantial premium to our stockholders," said Farlin Halsey, president and CEO of RFM. "There is a natural fit between our two companies, and we believe it was a significant factor in our outside directors' ability to attain a favorable price for our stockholders."
The transaction is subject to customary closing conditions, including shareholder and regulatory approvals.