Cirrus finds logic in buyout
Cirrus Logic completes the sale of its wireless infrastructure equipment group to ADC Telecommunications in a $23 million cash deal.
The acquisition gives ADC a business unit that produces base stations for cellular digital packet data and for personal wireless communications. These base stations are used by AT&T Wireless Services.
Cirrus expects to report a gain from the transaction in its fiscal third quarter ending December 31. The acquisition marks the third business unit that ADC has purchased from Cirrus' PCSI, a wholly owned subsidiary based in San Diego.
The remaining units, the semiconductor products group and subscriber unit group, will continue to operate at PCSI's Southern California location. Tom Rigoli, a Cirrus spokesman, declined to comment whether PCSI's remaining subscriber unit was up for sale.
"We have made some divestitures to help us intensify our focus on multimedia, communications, and mass storage. We want a stronger focus in digital communications and mixed-signal chip solutions," he said today. "These handheld devices [in the subscriber unit] make use of our radio frequency chips, as well as the digital ones."