- Indie Semiconductor, Inc INDI agreed to acquire GEO Semiconductor, Inc, a video processors maker for automotive cameras, for $180 million.
- The purchase consideration comprised $90 million in cash plus 12 million Indie shares. The shares were worth $95 million based on the February 8 closing of $7.92.
- The consideration included an earnout provision of up to $90 million.
- Indie expects the acquisition to be accretive to 2023 non-GAAP EPS.
- Acquisition of GEO, a private fabless semiconductor supplier, adds immediate scale to indie's Image Processing program and enables true sensor fusion of Radar, LiDAR, Ultrasound, and Computer Vision solutions in advanced driver-assistance systems (ADAS) applications.
- "Camera processing is at the core of the majority of use cases within ADAS applications. Indie's acquisition of GEO Semiconductor immediately rounds out our Computer Vision product portfolio with field-proven, differentiated solutions, enabling us to capitalize on the rapid proliferation of automotive image processors. At a higher level, GEO is complementary in terms of products, customers, and global sales channels while, at the same time, highly synergistic operationally with massive cross-selling opportunities," said Donald McClymont, indie's co-founder, and CEO.
- Dave Orton, GEO Semiconductor's CEO, said, "Leveraging the indie platform and their proven scalability, we can now unleash GEO's full potential and offer leading Tier 1s and car OEMs unprecedented camera resolution, low latency, power efficiency, and ultra-fast processing of image data for enhanced safety systems within next-generation vehicles."
- Indie held $150.8 million in cash and equivalents as of September 30.
- Price Action: INDI shares traded higher by 6.27% at $8.19 on the last check Friday.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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