Irvine-based chipmaker Mobix Labs Inc., which focuses on next-generation 5G wireless and connected communications, has agreed to make its third acquisition since its 2020 founding.
More deals may be on the way for Mobix, one of the more closely watched companies in the Orange County’s vital semiconductor industry.
The latest addition is EMI Solutions, which makes products to reduce the amount of unwanted noise and electromagnetic interference on military and aerospace electronics systems (see story, page 52).
Mobix said it expects the acquisition of EMI, also based in Irvine, to be completed in the final three months of the year.
Financial terms were not released. Mobix Labs says the purchase will add “meaningful” revenue to its business as soon as the deal closes.
The EMI Solutions addition will bring the total Mobix workforce up to around 60 people, CEO Fabian Battaglia told the Business Journal on Sept. 28.
Mobix, backed by well-known tech exec James “Jimmy P” Peterson, said in April it was purchasing high-tech manufacturer Advanced Interconnect Technologies of St. Cloud, Minn.
Last year, it purchased Cosemi Technologies Inc. of Irvine, a company that specializes in high-speed cable connectivity equipment.
Funding, Acquisition Plans
Battaglia says Mobix is looking at a “handful” of companies for further acquisitions.
“There’s two in particular that are of special interest to us,” he told the Business Journal, without providing names. “We would expect that we would be able to complete one, possibly two, in 2023.”
Battaglia and Mobix President and CFO Keyvan Samini make it clear that the company is aiming for further growth.
“My expectation is that probably in the next three weeks, there’ll be some significant announcement regarding our company,” Samini told the Business Journal.
Samini said discussions about transactions are now taking place, without specifying the substance of the talks.
He added that the company will be looking for further investment of approximately $25 million.
“We haven’t started the process, but we expect to do so in the next two weeks, and we expect to close that by December of this year,” Samini said.
The company has raised about $31 million in financing so far, according to Samini.
Connectivity, Wireless
Battaglia said that Mobix is divided into two business units: connectivity and wireless. The EMI products fit into both sectors.
Wireless is “focused primarily on 5G but not only on 5G,” Battaglia says. Fifth-generation wireless (5G) is the latest iteration of cellular technology, engineered to greatly increase the speed and responsiveness of wireless networks.
“Like everybody else, we’re working through supply chain challenges,” according to the CEO.
The company had one job posting on its website as of Sept. 30, for a principal/senior applications engineer.
5G, Cables
Mobix Executive Chairman Peterson previously served as chief executive and chairman of Aliso Viejo-based chipmaker Microsemi before its 2018 sale. In addition to his work with Mobix, Peterson’s been heading the multi-billion fundraising campaign for the University of California, Irvine.
In technical terms, Mobix calls itself “a global connectivity solutions provider for wireless mmWave 5G and wired high-bandwidth cable networks.”
The company also develops hybrid active optical cables, transceivers and optical engines for the data center, home entertainment and consumer electronics markets.
Mobix has offices in San Jose, Phoenix and Shanghai in addition to Irvine.
Airgain Link
In April, Mobix announced a partnership with San Diego-based wireless connectivity firm Airgain Inc. (Nasdaq: AIRG).
The partnership is “for the development of strategic, future-proof 5G technology,” the companies said.
The pact combines “Airgain expertise and 5G systems and Mobix Labs’ expertise in system-on-chip design,” according to Morad Sbahi, SVP Airgain, during a May conference call.
“The collaboration will focus on development of products designed to significantly
reduce the cost of ownership and provide solutions in 5G coverage gaps among carriers that fall within the high band millimeter wave anti-band operating frequencies,” Sbahi said.
