Renesas agrees to acquire Sequans through tender offer for $3.03 per ADS

Renesas Electronics and Sequans Communications announced that the two companies have entered into a memorandum of understanding, or “MoU,” pursuant to which Renesas will, following consultation of the Sequans’ works council and favorable recommendation by the Sequans Board, commence a tender offer to acquire all outstanding ordinary shares, including American Depositary Shares of Sequans for $3.03 per ADS – each ADS representing four ordinary shares – in cash. The transaction values Sequans at approximately $249M, including net debt, and is expected to close by the first quarter of calendar year 2024, subject to confirmation of tax treatment from relevant authorities, regulatory approvals and other customary closing conditions. “Upon closing of the transaction, Renesas intends to integrate Sequans’ breadth of cellular connectivity products and IP into its core product lineup, including microcontrollers, microprocessors, analog and mixed signal front ends. The acquisition will allow Renesas to immediately expand its reach to the Wide Area Network (WAN) market space encompassing a broad range of data rates. It will also enhance Renesas’ already rich portfolio of Personal Area Network and Local Area Network connectivity products,” the companies stated.