HedgeFundLIVE.com — Texas Instruments is buying National Semiconductor for $25 per share in cash. This is a definitive agreement which has been approved by both companies boards and is expected to close in six to nine months according to the press release.
Why is TXN buying NSM? Well, according to the press release it is because “National has an excellent development team, and its products combined with our own can offer customers an analogue portfolio of unmatched depth and breadth.” While this is what TXN’s CEO said in the press release, the real reason is growth, primarily top line which has been sorely lacking at TXN for the last few years. TXN’s revenues were $14.3bln in 2006 and were $14.0bln in 2010.
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