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NXP Sells RF Power Business to Chinese Private Equity Firm Jianguang Asset Management

NXP Sells RF Power Business to Chinese Private Equity Firm Jianguang Asset Management Image Credit: NXP

Netherlands-based NXP Semiconductors, this week announced an agreement that will facilitate the sale of its RF Power business that focuses on the cellular basestation market to Chinese private equity firm, Jianguang Asset Management for $1.8 billion. The sale will include all relevant patents and intellectual property associated with the RF Power business, as well the NXP back-end manufacturing operation in the Philippines that is focused on advanced package, test and assembly of RF Power products.

Under the agreement, the entire scope of the NXP RF Power business and approximately 2,000 NXP employees who are primarily engaged globally in the RF Power business, including its entire management team, are to be transferred to an independent company incorporated in the Netherlands, which will be 100% acquired by JAC Capital upon closing of the transaction. 

Richard Clemmer, CEO, NXP
The creation of a new company focused on the RF power amplifier market is a ground breaking transaction for JAC Capital and a great deal for our customers. Although we would have expected a higher valuation in a regular disposal, JAC Capital's ability to support continued growth and development of the business and its ability to sign and close a transaction rapidly was a key factor in enabling the best outcome for our customers and shareholders, as well as supporting the closure of the merger with Freescale Semiconductor.

Author

Ray is a news editor at The Fast Mode, bringing with him more than 10 years of experience in the wireless industry.

For tips and feedback, email Ray at ray.sharma(at)thefastmode.com, or reach him on LinkedIn @raysharma10, Facebook @1RaySharma

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