Silicon Labs explores breakup, sale of analog chip unit - Bloomberg News

Reuters
·1 min read

(Reuters) - Silicon Laboratories Inc is considering a potential breakup and exploring the sale of its analog chip unit, Bloomberg News reported on Friday.

The analog chip business could be worth $2 billion to $3 billion or more, Bloomberg reported, citing sources.

Shares of the company rose as much as 10.5% to a record of $162.92 in afternoon trading. (https://bloom.bg/3dtMrGD)

Silicon Labs declined to comment on the report.

The semiconductor industry has undergone a wave of consolidation in recent months, with firms such as Nvidia Corp, Advanced Micro Devices Inc and Marvell Technology all announcing multibillion dollar deals.

The deal could attract interest from other semiconductor companies and Silicon Labs is working with a financial adviser on selling the unit, according to the Bloomberg report.

The report added that a final decision regarding the deal has not been made.

(Reporting by Tiyashi Datta in Bengaluru; Editing by Maju Samuel)