MACOM Technology Solutions Holdings, Inc., commonly known as MACOM, completed its acquisition of Applied Micro Circuits Corporation (AppliedMicro) on January 26, 2017. AppliedMicro is now a wholly owned subsidiary of MACOM.
On November 21, 2016, MACOM announced it would acquire AppliedMicro for approximately $770 million. The acquisition strengthens MACOM’s portfolio for the data center market, adding OTN framers, MACsec Ethernet networking components and a single-lambda PAM4 platform. MACOM won’t retain all of AppliedMicro’s products and plans to divest the compute segment, which is not aligned with MACOM's strategy for the optical market.
John Croteau, MACOM president and CEO, said, “AppliedMicro's leadership in MACsec and 100G to 400G single-Lambda PAM4 positions MACOM as a preferred supplier to major enterprise and cloud data center providers, many of whom are adopting the technologies this year. MACOM will now be able to support customers with all of the requisite semiconductor content for optical networks — analog, photonic and mixed signal PHY — from the switch to fiber for long haul, metro, access, backhaul and data centers.”
The acquisition did not require approval by AppliedMicro stockholders. MACOM’s exchange offer to acquire the outstanding shares of AppliedMicro common stock expired at the end of January 25, with approximately 73.6% of AppliedMicro's outstanding shares tendered. The shares not tendered were cancelled and will receive the same amount offered by the exchange offer (i.e., $3.25 in cash and 0.1089 shares of MACOM common stock per share).