CCS Clears Proposed Acquisition of Shares by Texas Instruments Incorporated

1.      The Competition and Consumer Commission of Singapore (“CCS”) has cleared the proposed acquisition by Texas Instruments Incorporated (“TI”) of 100% of the issued and outstanding shares of Silicon Laboratories Inc (“Silicon Labs”) (collectively, the “Parties”) (the “Proposed Transaction”).

2.      The Parties are both active in the supply of semiconductor products which are used in a wide range of everyday products, including remote keyless entry systems for cars, continuous glucose monitors, power tools, electronic door locks and touch panels. CCS assessed the impact of the Proposed Transaction on competition, including whether the Parties would have the ability to raise prices, reduce quality and reduce choices for the semiconductor products they sell to their customers.

3.      CCS has concluded that the Proposed Transaction will not result in a substantial lessening of competition in relation to the supply of the following products by suppliers globally to customers globally:

a.      Wireless connectivity system-on-chips;

b.      Non-wireless microcontroller units;

c.      Power management integrated circuits;

d.      Sensors; and

e.      Universal serial bus bridges.

4.      Following CCS’s assessment of the Parties’ submissions and third parties’ feedback, CCS concluded that the relevant markets are likely to remain competitive in view that:

a.      The Parties are not each other’s closest competitor and will continue to face competition from numerous established global suppliers;

b.      The presence of many competitors and individually negotiated pricing arrangements makes coordinated conduct unlikely; and

c.      The merged entity is unlikely to have sufficient market power to foreclose competitors.

5.      Refer to CCS’s public register for more information.