General Semiconductor Completes Acquisition of SmallSignal Transistor From ITT Industries, Inc.
MELVILLE, N.Y.--(BUSINESS WIRE)--Oct. 1, 1997--General Semiconductor, Inc. (NYSE:SEM) today said it completed the previously announced acquisition of the small signal transistor business from ITT Industries, Inc. (NYSE:IIN) for $8.0 million. The acquired business has trailing 12-month revenues of approximately $60.0 million.
The acquisition positions General Semiconductor in more segments within the world-wide discrete semiconductor market and expands the segments in which the company competes to include approximately 44% of this $13 billion global market. Prior to the acquisition, General Semiconductor participated in approximately 20%, of the market with its product offering, which consisted primarily of rectifiers and transient voltage suppressors. Now, the market for products manufactured by General Semiconductor will exceed $5 billion annually.
"This acquisition is a very important step in implementing our growth strategy," said Ronald A. Ostertag, Chairman and CEO. "We are excited by the opportunity that it provides us to increase customer service as well as to leverage our excellent sales and distribution capabilities. We have a world-class customer list. By broadening our product offering, we will allow our customers to consolidate their buying process."
Discrete semiconductors are silicon-based devices that perform a single function. Rectifiers convert alternating current to direct current; transient voltage suppressors protect electrical circuits from power surges; and small signal transistors amplify or switch low level currents. General Semiconductor, Inc. is a market leader in the discrete segment of the semiconductor industry, with manufacturing facilities in China, Europe, Taiwan and the United States. The company has a strong sales presence in every part of the globe. It provides customers around the world with a broad range of rectifiers, transient voltage suppressors and small signal transistors. Its customers include leading manufacturers of consumer electronics, lighting, telecommunications equipment, computers, automobiles and automobile aftermarket products.
The information set forth above includes "forward-looking" information and, accordingly, the cautionary statements contained under the caption "Cautionary Statement for Purposes of `Safe Harbor' Provision of the Private Securities Litigation Reform Act of 1995v in the CompanyFs Proxy Statement dated June 13, 1997 are incorporated herein by reference. General Semiconductor's actual results could differ materially from the "forward-looking" information in this press release.
CONTACT: General Semiconductor
Pam Jameson
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