PMC-Sierra completes $425 million storage buy

PMC-Sierra Wednesday said it has completed its $425 million acquisition of the former storage semiconductor business of Agilent Technologies.

The division makes components for Fibre Channel storage systems, including its Tachyon brand of Fibre Channel controllers.

PMC-Sierra said the deal would boost its position in the enterprise storage market. The company also makes broadband communications chips.

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PMC-Sierra Wednesday said it has completed its $425 million acquisition of the former storage semiconductor business of Agilent Technologies.

The division makes components for Fibre Channel storage systems, including its Tachyon brand of Fibre Channel controllers.

PMC-Sierra said the deal would boost its position in the enterprise storage market. The company also makes broadband communications chips.

Agilent sold its semiconductor business last August to two investment companies, Kohlberg Kravis Roberts & Co. and Silver Lake Partners, for $2.66 billion. They rechristened the group Avago Technologies and announced plans in October to sell the storage division to PMC-Sierra, of Santa Clara.

The division employed about 240 people and had design centers in Santa Clara; Roseville, Calif., and Singapore.

PMC-Sierra said it expects to incur significant costs related to the acquisition.

The final purchase price is subject to an inventory adjustment, it said.

The IDG News Service is a Network World affiliate.