ON Semiconductor Acquires Sound Design Technologies, Ltd.
Canadian acquisition solidifies ON Semiconductor as a leading supplier of ultra-low-power DSP technology for hearing aids and audio processing applications
PHOENIX, Ariz. – June 9, 2010 – ON Semiconductor Corporation (Nasdaq: ONNN) a premier supplier of high performance, energy efficient silicon solutions for green electronics, today announced it has acquired privately held Sound Design Technologies, Ltd. (SDT) from an affiliate of Global Equity Capital, LLC, in an all cash transaction for initial consideration of approximately $22 million.
Under the terms of the acquisition, the seller will also have the ability to receive additional earn-out proceeds of up to $10 million if, among other things, SDT is able to meet certain revenue thresholds in 2010, 2011 and 2012. The initial consideration value represents approximately one times SDT’s first quarter 2010 annualized sales levels. SDT will now become an integrated part of ON Semiconductor’s Medical Division, based in Waterloo, Ontario, Canada.
“The acquisition of Sound Design Technologies solidifies our position as a leading supplier of ultra-low-power digital signal processing (DSP) technology for hearing aids and audio processing applications,” said Robert Tong, vice president of ON Semiconductor’s Medical Division. “In addition, the acquisition strengthens the company’s talent base and adds an experienced design and applications engineering team for the audiology segment. SDT’s advanced manufacturing expertise in chip-scale capacitors and high density packaging will also expand our capabilities in delivering advanced, highly miniaturized packaging technology, crucial for hearing aid and similarly size-constrained applications that demand medical-grade quality.”
Michael Hirano, executive vice president, operations of Global Equity Capital, stated, “Matching SDT’s cutting edge technology with ON Semiconductor’s worldwide presence and industry expertise is a natural next step in the evolution of the business, also benefiting SDT customers building sophisticated hearing products.”
SDT is a leading designer and manufacturer of ultra-low-power semiconductor solutions for hearing aids and portable, battery-powered DSP applications, and a leading provider of advanced high density interconnect technologies used in custom miniaturized packages. Based in Burlington, Ontario, Canada, SDT has a 37-year history of innovation in developing miniaturized audio processors. The hearing instrument products and manufacturing operations of Gennum Corporation were acquired in 2007 to form SDT. For more information, visit www.sounddesigntechnologies.com.
About Global Equity Capital, LLC
Global Equity Capital, LLC (GEC) is a private equity firm focused on value creation through extensive operating expertise in small to middle-market transactions. GEC provides speed and flexibility in carve-outs of non-core assets from public and private entities, financial or operational turnarounds and growing businesses looking for operational and financial resource assistance. GEC is led by an experienced team, which has demonstrated over time a reliable track record of creating substantial value in its portfolio companies for shareholders and management. GEC is headquartered in Boulder, Colorado. For more information visit www.globalequitycap.com.
About ON Semiconductor
ON Semiconductor Corporation (Nasdaq: ONNN) is a premier supplier of high performance, energy efficient, silicon solutions for green electronics. The company's broad portfolio of power and signal management, logic, discrete and custom devices helps customers efficiently solve their design challenges in automotive, communications, computing, consumer, industrial, LED lighting, medical, military/aerospace and power applications. ON Semiconductor operates a world-class, value-added supply chain and a network of manufacturing facilities, sales offices and design centers in key markets throughout North America, Europe, and the Asia Pacific regions. For more information, visit http://www.onsemi.com.
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ON Semiconductor and the ON Semiconductor logo are registered trademarks of Semiconductor Components Industries, LLC. All other brand and product names appearing in this document are registered trademarks or trademarks of their respective holders. Although the company references its website in this news release, information on the website is not to be incorporated herein.
This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements related to the consummation and benefits of the acquisition by ON Semiconductor Corporation (“ON”) of Sound Design Technologies, Ltd. (“SDT”) and the future financial performance of ON. These forward-looking statements are based on information available to us as of the date of this release and current expectations, forecasts and assumptions and involve a number of risks and uncertainties that could cause actual results to differ materially from those anticipated by these forward-looking statements. Such risks and uncertainties include a variety of factors, some of which are beyond our control. In particular, such risks and uncertainties include, but are not limited to, difficulties encountered in integrating SDT; the possibility that expected benefits and cost savings may not materialize as expected; the variable demand and the aggressive pricing environment for semiconductor products; dependence on each company’s ability to successfully manufacture in increasing volumes on a cost-effective basis and with acceptable quality for its current products; the adverse impact of competitive product announcements; revenues and operating performance; poor economic conditions and markets, including the current credit markets; the cyclical nature of the semiconductor industry; changes in demand for our products; changes in inventories at customers and distributors; technological and product development risks; availability of raw materials; competitors' actions; pricing and gross margin pressures; loss of key customers; order cancellations or reduced bookings; changes in manufacturing yields; control of costs and expenses; significant litigation; risks associated with acquisitions and dispositions generally; risks associated with leverage and restrictive covenants in debt agreements; risks associated with international operations including foreign employment and labor matters associated with unions and collective bargaining agreements; the threat or occurrence of international armed conflict and terrorist activities both in the United States and internationally; risks related to new legal requirements such as health care reform; risks and costs associated with increased and new regulation of corporate governance and disclosure standards; and risks involving environmental or other governmental regulation. Information concerning additional factors that could cause results to differ materially from those projected in the forward-looking statements is contained in ON’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and other of our filings with the Securities and Exchange Commission. These forward-looking statements should not be relied upon as representing our views as of any subsequent date and we do not undertake any obligation to update forward-looking statements to reflect events or circumstances after the date they were made.
Media Contact Investor Contacts
Anne Spitza Ken Rizvi
Corporate Communications Treasurer and Vice President
ON Semiconductor ON Semiconductor
(602) 244-6398 (602) 244-3437
anne.spitza@onsemi.com ken.rizvi@onsemi.com
Angela Blatteis
Global Equity Capital, LLC
communications@globalequitycap.com (310) 443-4246
audifon Adopts Sound Design Technologies’ WOLVERINE™ DSP Platform in elia™ Hearing Systems
SAN DIEGO--(BUSINESS WIRE)--April 14, 2010
audifon, a global provider of innovative high-quality hearing systems and Sound Design Technologies (SDT), a leading designer and manufacturer of ultra-low power semiconductor solutions, algorithms and software infrastructure for hearing instruments, today jointly announced that audifon has adopted SDT’s WOLVERINE™ DSP platform in its brand new elia™ family of hearing systems.
“With elia™ we’ve developed a product that offers unparalleled sound experience for our discerning customers. The numerous automated features in elia™ packaged in attractive hearing aid styles offers significant leap in performance and functionality, ensuring unsurpassed listening experience for every client”, says Dr. Alexander Kind – President and CEO of audifon.
elia™ is the most advanced and the most intuitive audifon hearing system ever. Superior automatic performance on elia™ is enhanced with a variety of hearing instrument product styles fitting mild to severe hearing losses, delivering incomparable listening is every situation. elia™ is available in trendy, almost invisible form factors ranging from receiver-in-the-ear (RITE) to custom CICs in a range of attractive colours.
“Our collaboration with audifon is another example of enabling innovation by bringing leading-edge semiconductor processes and our miniaturized packaging capability to our customers,” commented SDT’s President and CEO, Ian Roane. “WOLVERINE™ offers to our customers, the best in class algorithm design flexibility with power efficiency that has surpassed the performance of legacy analog amplifiers as well as hardwired digital ASICs.”
WOLVERINE™ DSP, a finalist in EDN’s 20th annual innovation awards for best multiprocessing system, is the hearing industry’s first 90nm monolithic DSP system. Targeting the entire hearing aid market segment from basic digital to premium adaptive digital signal processing with unrivalled bandwidth, current efficiency and programming flexibility; WOLVERINE™ DSP delivers matchless performance for hearing aid product designs. Introduced in April 2009, WOLVERINE™ DSP is available in variety of form factors ranging from 3.8 mm X 2.8mm WLCSP packages to 5.6 mm X 3.2 mm miniaturized hybrid assemblies.
For more information, visit http://www.sounddes.com/products_Wolverine.php.
Tanner EDA and Sound Design Technologies Announce Process Design Kit (PDK) Collaboration for Thin Film Technologies
SiPArray™ Integrated Passives Technology Combined with HiPer Silicon™ Software Provides Breakthrough for Complete A/MS IC Design Solution
MONROVIA, Calif. & BURLINGTON, Ontario--(BUSINESS WIRE)-- Tanner EDA, the catalyst for innovation for the design, layout and verification of analog and mixed-signal integrated circuits (ICs) and Sound Design Technologies (SDT), a leading designer and manufacturer of integrated passives and stacked-die assemblies, are collaborating to develop process design kits (PDKs) for analog/mixed-signal (A/MS) designers using Tanner EDA’s HiPer Silicon™ software. This collaboration gives Tanner EDA customers access to SDT’s innovative SiPArrayTM integrated passives technology and SDT customers access to Tanner EDA’s A/MS tools for a complete IC design solution.
“Tanner EDA offers a perfect blend of productivity, price-performance and interoperability that is ideally suited to the needs of our analog/mixed-signal IC design customers,” stated Ian Roane, president and CEO of Sound Design Technologies. “Our collaboration with Tanner EDA provides our mutual customers with an advanced design platform and powerful design capabilities to integrate passive components into stacked die assemblies to reduce board space. This will enable them to capitalize on advanced 3D packaging capabilities for breakthroughs in miniaturization and high performance solutions.”
“Our collaboration with Sound Design Technologies is another example of enabling innovation by bringing leading-edge process and packaging capability to our customers,” commented Tanner EDA’s president, Greg Lebsack. “Our specialized IC design software combined with SDT’s integrated passives and chip-stacking technologies arm A/MS designers with breakthrough capabilities to simultaneously save space, improve quality and reduce power requirements.”
Availability of PDKs
Sound Design Technologies’ PDKs for Tanner Tools will be available in Q1 2010. For more information on PDK availability and access, please contact SDT’s Technology and Manufacturing services (techservices@sounddes.com) or John Zuk, vice president, marketing and strategic partnerships at Tanner EDA (john.zuk@tannereda.com).
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Sound Design Technologies Launches RHYTHM™ DSP for Hearing Aids on WOLVERINE™ DSP Platform
BURLINGTON, Ontario (BUSINESS WIRE) October 20, 2009
Sound Design Technologies (SDT) a leading designer and manufacturer of ultra-low power semiconductor solutions for hearing instruments announces the launch of RHYTHM™ DSP for hearing aids at the 54th International EUHA Congress, in Nuremberg, Germany.
RHYTHM™ (SA3229 and SB3229) is a high-quality, superior performance trimmer-configurable or programmable DSP system for emerging hearing aid markets. Featuring four-channel WDRC compression, high performance feedback cancellation and a host of other advanced features, RHYTHM™ delivers first-class performance at an affordable price.
Ian Roane, CEO SDT comments: “RHYTHM implemented on Sound Design’s WOLVERINE™ platform enables our customers to offer a high-quality, cost efficient product for the emerging price-sensitive markets in the hearing industry. With multi-channel compression, adaptive feedback cancellation and trimmer controls; Rhythm is redefining the low-cost hearing market with performance that was limited to premium hearing aids in the past.”
RHYTHM features WDRC compression with choice of 1, 2, or 4 channels, adaptive Feedback Cancellation with high added stable gain and rapid adjustment for dynamic feedback situations. The WOLVERINE DSP platform enables superior 20-bit wide bandwidth (up to 16 kHz) sound quality on RHYTHM, delivering unprecedented sound quality, comfort and audibility to hearing aid wearers.
RHYTHM ™ is offered as a lead-free RoHS compliant part in SDT’s miniaturized WOLVERINE™ hybrid. The extremely small form factor of the product (SA3229: 5.72 x 3.18 x 1.27 mm3 and SB3229: 5.59 x 3.18 x 1.65 mm3) allows manufacturers to build hearing aids of all form-factors including CIC, ITE, BTE, and mini-BTE styles. Samples are now available; full production quantities available in November 2009.
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Sound Design Technologies Launches WOLVERINE™ Audio Processing Digital Signal Processing Platform
BURLINGTON, Ontario(
BUSINESS WIRE) - April 1, 2009
Sound Design Technologies (SDT), a leading designer and manufacturer of ultra-low power semiconductor solutions for hearing instruments has launched the WOLVERINE™ series of DSP solutions, consisting of programmable DSP platforms as integrated circuits or packaged hybrids and preconfigured hearing aid solutions. The WOLVERINE™ series will be unveiled this week during AudiologyNOW! in Dallas, Texas.
WOLVERINE™ (SA340x) is a full System-On-Chip (SoC) programmable multi-processor DSP platform maximizing MIPS/µW with a unique reconfigurable architecture, integrated high-resolution dual ADCs, DAC, 20-bit data path with high programmable flexibility and an ultra miniature foot print with best in the industry power consumption making Wolverine an ideal platform for audio and data processing applications such as hearing aid processors, portable audio entertainment devices, noise cancellation headphones, medical monitoring, enterprise headsets, Biometrics etc.
Combining industry-leading, cutting-edge 90-nm process technology with low-leakage transistor technology, the SA340x generation of fully programmable multi-processor DSPs offers designers the flexibility to add more features to existing battery operated products, portability to traditionally wired applications, lower heat dissipation, save energy costs on wired applications or meet any other application requirements for a low-power processor. The SA340x series of advanced ultra low-power technology is available in alternate form factors ranging from CSPs of 3mmX4mm to 5mmX5mm LFBGA assemblies in RoHS compliant assemblies.
Ian Roane, CEO SDT comments: "WOLVERINE is the industry's first monolithic product and a true system-on-chip with embedded processing cores, analog-to-digital converters, non volatile memory among other features in a truly miniature form factor which will enable hearing aid manufacturers to develop highly differentiated product lines for all segments of the market on a single platform."
WOLVERINE™ platform is supported with a complete suite of development tools, including Sound Design GUIDE™ that offers developers a complete solution for firmware development, debugging and testing. Wolverine DSP is available in alternate miniaturized chip scale packages for a wide range of product applications ranging from Hearing Aids to consumer and professional Audio and Data Processing applications.
SOUND DESIGN TECHNOLOGIES LAUNCHES INSPIRIA ULTIMATE™ DSP FOR HEARING AIDS
BURLINGTON, Ontario - Mar 31, 2008
Sound Design Technologies (SDT), a leading
designer and manufacturer of ultra-low power semiconductor solutions for hearing
instruments, announces the launch of INSPIRIA™ Ultimate DSP for hearing aids, which
will be unveiled during AudiologyNOW! 2008 in Charlotte, North Carolina...
read more
SOUND DESIGN TECHNOLOGIES LAUNCHES VOYAGEURII™ DIGITAL SIGNAL PROCESSING PLATFORM
BURLINGTON, Ontario - Mar 31, 2008
Sound Design Technologies (SDT), a leading
designer and manufacturer of ultra-low power semiconductor solutions for hearing
instruments has launched the VOYAGEURII™ series of DSP solutions, consisting of
integrated circuits, programmable DSP products and preconfigured hearing aid solutions.
The VOYAGEURII™ series will be unveiled this week during AudiologyNOW! in
Charlotte, North Carolina...
read more
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