Shares of Actel Coporation (ACTL) surged 32% Monday on news that chip maker Microsemi Corp. (MSCC) agreed to buy the power management components developer for about $430 million, or $20.88 a share-net to each holder in cash.
Microsemi said the deal, which is expected to close in the first quarter, should be 22-28 cents accretive to EPS in calendar year ending December 2011.
For the fiscal fourth quarter ended September, Microsemi expects to report sales of $146 million to $150 million, with non-GAAP diluted earnings per share of 33-35 cents a share. Meanwhile, Mountain View, California-based Actel expects third-quarter sales to be in the range of $59.5-$61.8 million.
Microsemi said in a press release that the transaction is not subject to a financing condition as the co. has received a financing commitment from Morgan Stanley Senior Funding, Inc. in connection with the acquisition. The financing commitment includes a $375 million seven year senior term loan facility as well as a $50 million revolving credit facility.
Shares of Actel soared $4.91, or 30.65%, at last check to $20.93, while shares of Microsemi rose $1.46, or 8.53%, to $18.57.
The Actel stock was one of the top gainers Monday on Nasdaq.