Cypress Semiconductor to Acquire Cascade Semiconductor Corporation; Deal to Expand Cypress's Wireless Product Portfolio
SAN JOSE, Calif.—(BUSINESS WIRE)—Oct. 20, 2003—
Cypress Semiconductor Corporation (NYSE:CY) and Cascade
Semiconductor Corporation, a privately held company, today announced
the signing of a definitive agreement for Cypress to acquire Cascade
in a merger. Cascade, a company specializing in 1T Pseudo-SRAM
products for wireless applications, has averaged quarterly revenues of
approximately $3 million.
"Cascade complements Cypress in multiple ways," said Tony Alvarez,
Cypress's executive vice president for the Memory Products Division.
"First, it has volume shipments of 1T-Pseudo SRAM products at several
accounts that are new to Cypress. It also adds to our product
development capabilities in memories for the mobile phone segment.
Finally, Cascade brings to Cypress experience in selling into the
'System-in-package' markets within the mobile handset industry."
"Cypress has developed very strong worldwide alliances with
virtually every important channel in the wireless market," said Dr.
Wenliang Chen, Cascade's co-founder and president. "In addition, it
has a large, world-class sales, marketing and applications
organization to facilitate market penetration of our extremely
competitive products. The combined product portfolios of our companies
will provide a line of mobile applications memories I believe is
literally second to none."
The closing of the merger, which is expected in the 2003 fourth
quarter, is subject to regulatory approvals and other customary
conditions to closing. The transaction is expected to be accretive to
Cypress's pro forma earnings starting in the first quarter of 2004.
About Cypress
Cypress Semiconductor Corporation (NYSE:CY) is Connecting from
Last Mile to First Mile(TM) with high-performance solutions for
personal, network access, enterprise, metro switch, and core
communications-system applications. Cypress Connects(TM) using
wireless, wireline, digital, and optical transmission standards,
including USB, Fibre Channel, SONET/SDH, Gigabit Ethernet, and DWDM.
Leveraging its process and system-level expertise, Cypress makes
industry-leading physical layer devices, framers, and network search
engines, along with a broad portfolio of high-bandwidth memories,
timing technology solutions, and reconfigurable mixed-signal arrays.
More information about Cypress is accessible online at
www.cypress.com.
About Cascade
Founded in May 2001, Cascade Semiconductor Corporation is a
privately held fabless semiconductor company that designs and markets
low-power memory products to wireless communications market based in
Beaverton, Ore. More information about Cascade is available online at
www.cascadesemi.com.
Safe Harbor Provision
The above news release contains forward-looking statements that
involve risks and uncertainties. These forward-looking statements
relate to the expected impact of the acquisition on Cypress's
operating results, future market demand and acceptance of Cypress's
and Cascade's products, and the development of new business and
products of the combined company. Cypress's actual results may vary
materially from the results discussed in the forward-looking
statements.
Factors that may cause such a difference include those risks
surrounding the closing of the acquisition, timely development,
production, and the continued and increased market acceptance of the
combined companies' products, Cypress's ability to successfully
combine the operation of the two companies, the ability of the
combined company to compete in the highly competitive and rapidly
changing marketplace, and the other risks detailed from time to time
in Cypress's periodic reports with the Securities and Exchange
Commission.
Cypress and the Cypress logo are registered trademarks of Cypress
Semiconductor Corporation. "Connecting from Last Mile to First Mile"
and "Cypress Connects" are trademarks of Cypress. All other trademarks
are the property of their respective owners.
Contact:
Cypress Semiconductor Corporation
Manny Hernandez, 408-943-2754
(CFO, VP Finance & Administration)
Joseph L. McCarthy, 408-943-2902
(VP Corporate Communications)
