In 2021, Renesas agreed to acquire Dialogue for nearly $6 billion

According to Jiweiwang, on February 8, 2021, Renesas Electronics, a Japanese automotive chip giant, announced that it has agreed to acquire British power management chip manufacturer Dialogue Semiconductor Plc. The value of this transaction is approximately 4.9 billion euros (5.9 billion US dollars).

According to a statement from Renesas Electronics, the company is acquiring Dialogue in full cash for 67.5 euros per share.

Dialogue is an innovative provider of highly integrated and energy-efficient hybrid signal ICs, primarily serving numerous customers in high growth segments of the Internet of Things, consumer electronics, and automotive and industrial end markets. Centered around its low power consumption and mixed signal capabilities, Dialogue brings a wide range of products including battery and power management, power conversion, configurable mixed signal (CMIC), LED drivers, custom mixed signal ICs (ASICs) and automotive power management ICs (PMICs), wireless charging technology, and more. Dialogue also offers BLE, WiFi, and System on Chip (SoC) audio, providing advanced connectivity for various applications; From smart homes/building automation, wearable devices to connected healthcare. All of these complement and expand Reza's leading advantage in providing comprehensive solutions, thereby improving the performance and efficiency of high computing electronic systems.

Regarding this acquisition, Hidetoshi Shibata, President and CEO of Renesas, stated, "The deal we announced today is an important step in Renesas' rapid growth plan to achieve significant strategic and financial benefits, following previous acquisition actions.". By bringing Dialogs' talented team and expertise to Renesas, we will accelerate innovation for our clients and create sustainable value for our shareholders

Dr. Jalal Bagherli, CEO of Dialogue, said, "Over the years, we have successfully implemented a diversification strategy to achieve high growth for Dialogue." "We have laid a solid foundation in our expertise in high-performance simulation and energy-efficient hybrid signals, expanded our product portfolio, and applied our technology to markets including 5G, wearable devices, automobiles, smart homes, connected healthcare, and industrial IoT.". This eye-catching platform, combined with Renesas leading embedded computing, simulation, and power product portfolio, creates greater growth opportunities in today's increasingly interconnected world. The Dialogue team is pleased to collaborate with Renesas. The merged company will provide innovative products to these markets based on Reza's extensive sales, distribution, and customer support capabilities, thereby placing it in a stronger position.

Since the beginning of this year, due to strong demand for Apple 5G phones and acquisition rumors, the stock price of Dialogue has risen by about 25%.

Renesas's agreement to acquire Dialogue may face strict scrutiny from UK regulatory authorities as countries increasingly protect strategic industries such as semiconductors. For example, UK competition regulators will investigate Nvidia's acquisition of ARM.