Acquisition Overview - ST will acquire NXP's MEMS sensor business for up to $950 million in cash[3] - The deal includes $900 million upfront and $50 million contingent on technical milestones[3] - The transaction is expected to close in the first half of 2026, subject to regulatory approvals[5] - The acquisition will be financed from ST's existing liquidity[4] Strategic Rationale - The acquisition is a strategic fit, enhancing ST's MEMS technology and R&D capabilities[12] - It provides stronger exposure to the rapidly expanding MEMS automotive market[12] - The acquired business is expected to grow faster than the overall MEMS market[16, 19] - The transaction is expected to be accretive to ST's Earnings Per Share (EPS) from completion[11, 12] Business Details - NXP's MEMS business generated approximately $300 million in revenue in FY2024[14] - The primary target of the acquired business is automotive sensors, including pressure sensors and accelerometers for industrial applications[14] - The overall market for MEMS sensors and actuators is expected to grow at a CAGR of over 4% from 2024 to 2028[18]

PR N°C3350C STMicroelectronics to strengthen position in sensors with acquisition of NXP’s MEMS sensors business ST enters into agreement for acquisition of NXP’s MEMS sensor business for a purchase price of up to US$950 million in cash, including US$900 million upfront and US$50 million subject to the achievement of technical milestonesThe MEMS businesses of ST and NXP are strongly complementary in terms of technology and product portfolio, with the combined product offering to be well balanced across auto ...

PR N°C3350C STMicroelectronics to strengthen position in sensors with acquisition of NXP’s MEMS sensors business ST enters into agreement for acquisition of NXP’s MEMS sensor business for a purchase price of up to US$950 million in cash, including US$900 million upfront and US$50 million subject to the achievement of technical milestonesThe MEMS businesses of ST and NXP are strongly complementary in terms of technology and product portfolio, with the combined product offering to be well balanced across auto ...