BERLIN (Reuters) – Dialog Semiconductor, whose customers include Apple, confirmed on Sunday that it was in advanced negotiations with Renesas Electronics Corporation about a potential sale, valuing it at around $ 6 billion.
Discussions revolved around a possible cash offer of 67.50 euros per share from British company Dialog, the company said in a statement, representing a 20% premium over Friday’s closing price of 56 , 12 euros, when it had a market capitalization of around 4.3 billion euros (US $ 5.2 billion).
“A new announcement will be made as and when appropriate. There can be no certainty that any firm offer will be made by the Company, nor as to the terms under which any firm offer may be made, ”he added.
Dialog, listed in Frankfurt, said Renesas is required by regulation to announce a firm intention to make an offer by 5 pm GMT on March 7, or to say that it has no intention of doing so.
Renesas could not be reached immediately for comment.
The two companies agreed to expand their collaboration in August.
Dialog last month gave an optimistic revenue forecast for the fourth quarter due to strong demand for 5G phones and tablets.
($ 1 = 0.8304 euros)
Written by Paul Carrel; Additional reporting by Makiko Yamazaki; Editing by Maria Sheahan and Alexander Smith