Japan's Renesas in talks to buy US chipmaker Intersil: report

[NEW YORK] Japan's Renesas Electronics Corp is in the final stages of negotiations to acquire American chipmaker Intersil Corp, according to a report on Sunday from Nikkei Asian Review.

The Japanese chipmaker is expected to spend up to 300 billion yen (S$4.03 billion) on the deal, the report said, adding that a basic agreement could be reached as early as this month.

Intersil's market capitalisation amounted to more than US$2.1 billion as of Friday. Renesas will add a premium to buy Intersil shares, seeking to take full control of the Milpitas, California-based company, it said.

Renesas also plans to use cash on hand and may also consider borrowing funds from banks, the report added.

REUTERS