Skyworks Qorvo Merger Forms $22B RF Analog Leader in AI Data Center and Defense Markets

Skyworks and Qorvo have entered into a definitive agreement to combine in a cash-and-stock transaction valuing the enterprise at approximately $22 billion, creating a U.S.-based company focused on radio frequency, analog, and mixed-signal semiconductors.

The combined entity will generate pro forma revenue of $7.7 billion and Adjusted EBITDA of $2.1 billion. It will feature a $5.1 billion mobile business and a $2.6 billion Broad Markets platform covering defense and aerospace, edge IoT, AI data center, and automotive sectors.

Qorvo shareholders will receive $32.50 in cash and 0.960 of a Skyworks common share for each Qorvo share. Upon closing, Skyworks shareholders will own approximately 63 percent of the combined company on a fully-diluted basis, with Qorvo shareholders owning 37 percent.

Phil Brace will serve as chief executive officer of the combined company. Bob Bruggeworth will join the Board of Directors, which will consist of 11 members: eight from Skyworks and three from Qorvo.

The transaction is expected to be immediately accretive to non-GAAP EPS post-close, with at least $500 million in annual cost synergies within 24 to 36 months after full integration. The combined company will include approximately 8,000 engineers and technical experts and over 12,000 issued and pending patents.

Skyworks will fund the cash portion using cash on...