Silicon Motion intends to enforce MaxLinear merger agreement

Silicon Motion Technology Corporation (SIMO) announced that Silicon Motion and MaxLinear (MXL) received antitrust approval from the State Administration for Market Regulation in the People’s Republic of China in relation to the proposed merger between Silicon Motion and MaxLinear. After receiving SAMR Approval, Silicon Motion received a notice of purported termination of the Merger from MaxLinear, and Silicon Motion issued the following statement in response: “MaxLinear’s eleventh-hour purported termination of its merger agreement with Silicon Motion is invalid and reflects a repudiation of MaxLinear’s obligations rather than any failure of Silicon Motion’s conditions to closing. In the 15 months since the signing of the merger agreement between the parties, Silicon Motion worked cooperatively with MaxLinear to obtain regulatory approvals for the merger, Silicon Motion complied with its obligations under the agreement and Silicon Motion has not suffered a material adverse effect. Silicon Motion expects MaxLinear to abide by its obligation under the merger agreement and intends to vigorously enforce its rights under the merger agreement.”