Skyworks Solutions Inc. has agreed to buy analog chip systems maker Avnera Corp. for $405 million in cash.
The deal could hit $425 million if certain benchmarks are hit within 12 months of the estimated October close of the transaction.
The transaction has been approved by the boards of both companies.
Beaverton, Ore.-based Avnera will boost Skyworks’ wireless connectivity offerings by supplying ultra-low power analog circuits that enable smart devices. The buy will also boost Skyworks’ presence in the artificial intelligence, IoT, enterprise and auto sectors, the company said.
Key Avnera customers include Harman, JBL, Panasonic, Philips, Pioneer, Samsung, Sony, Vizio and Yamaha.
Skyworks is led by Liam Griffin in Irvine but designates its headquarters as Woburn, Mass. It makes communication chips used in smartphones, tablets, routers, PCs and notebook computers, among other devices.
Its shares are down less than 1% in late-afternoon trading to a market value of about $17 billion.