Recently, mediatek acquisition chip company set chow the spread of science and technology, the news of semiconductor m&a boom of us is not a surprise, but then mediatek denial, said will not buy the latter.

However, silence already a long time of mediatek finally succumb.

Today afternoon, mediatek announced with chow technology co., LTD. (hereinafter referred to as the "vertical chow technology") signed a letter of intent, by mediatek in accordance with the "public acquisition of a public company securities management approach", open to acquire set chow technology.

According to the agreement, mediatek to nt $195 a share (about RMB 38) as an open offer made on price chow stake in science and technology, the minimum purchase amount to 51981057 shares (about chow technology of 35% of the outstanding shares), the highest purchase amount to 75743826 shares (about chow technology of 51% of the outstanding shares). Therefore, mediatek acquisition chow technology will cost at least 2 billion, at a cost of 3 billion yuan at most.

In the open offer complete, and go after the relevant legal procedures, mediatek will be established in the second quarter of 2016 the chow deal to buy a 100% stake in science and technology.

According to mediatek chairman Mr Tsai said the acquisition to layout the Internet of things. Mediatek as a mobile phone chip company, beyond the samsung, after successful market share his mobile phone chips, the second position, mediatek has began to decline, the net profit in the second quarter of 2015 from last year by half, to keep market share, mediatek has to play price war, slashed its 3 g chip prices. However, because of the smartphone market itself is becoming saturated, chip companies such as Intel and qualcomm, samsung has early weak field of Internet of things, so mediatek wants to hold the position, or to avoid a new round of competition in the field of Internet of things.

Set chow technology is a power management IC design company, was founded in 1998, the main product lines include switching power IC, power management IC, power protection IC and drive/amplifier, the plan covers the computer, consumer terminal products, network communication equipment, large size panel displays and intelligent lighting and other fields!