Silicon Laboratories Inc. (NasdaqGS:SLAB) entered into definitive agreement to acquire Z-Wave Business of Sigma Designs, Inc. (NasdaqGS:SIGM) for $240 million on December 7, 2017. Z-Wave Business reported net revenues of $40.1 million for 2017. In case of termination Sigma will pay a termination fee of $11.5 million to Silicon. The transaction is subject to customary closing conditions, including approval by Sigma Designs' shareholders, expiration or termination of the applicable waiting periods under the Hart-Scott-Rodino Antitrust Improvements Act of 1976. The board of directors of sigma has unanimously approved the transaction. As of March 19, 2018, the special meeting of shareholders of Sigma is expected to be held on April 17, 2018. Sigma Designs expects that the asset transaction would close in either the late first or early second calendar quarter of 2018. As of February 23, 2018, the transaction is expected to close early in the second calendar quarter of 2018. Silicon Labs expects the acquisition to be accretive to 2018 non-GAAP earnings. Deutsche Bank is serving as financial advisor and also provided fairness of opinion to Sigma Designs in connection with the transaction. Sigma paid Deutsche Bank a fee of approximately $4.4 million. D.F. King & Co., Inc. acted as proxy solicitor to sigma for a fee of $12,000. Philip Russell, P.C. of DLA Piper LLP (US) acted as legal advisor to Silicon while James J. Masetti of Pillsbury Winthrop Shaw Pittman LLP acted as legal advisor to Sigma. Morgan Stanley acted as financial advisor for Silicon Laboratories.

Silicon Laboratories Inc. (NasdaqGS:SLAB) completed the acquisition of Z-Wave Business of Sigma Designs, Inc. (NasdaqGS:SIGM) on April 18, 2018.