M&A - SYNAPTICS Inc

Form Type: 10-Q

Filing Date: 2025-05-08

Corporate Action: Acquisition

Type: New

Accession Number: 000081772025000041

Filing Summary: SYNAPTICS Inc. reported its quarterly financial results for the period ended March 29, 2025. The company registered a net revenue increase to $266.6 million compared to $237.3 million in the prior year. However, it also experienced a net loss of $21.8 million, slightly higher than the $18.1 million loss from the previous year. Costs of revenue rose to $150.8 million, yielding a gross margin of $115.8 million. The company's total operating expenses for the quarter amounted to $142.1 million, with R&D expenses at $88.6 million and SG&A at $34.7 million. The report notes substantial restructuring costs and intangible asset impairment charges affecting profitability. Assets declined to $2.55 billion, with cash and equivalents reported at $360.4 million, while total liabilities were recorded at $1.17 billion. The filing indicates a commitment to operational adjustments as part of ongoing restructuring initiatives for better financial health. Additionally, the report emphasizes the impact of market conditions and the company’s strategic response to drive growth amid these challenges.

Form Type: 8-K

Filing Date: 2025-01-28

Corporate Action: Acquisition

Type: New

Accession Number: 000162828025002816

Filing Summary: On January 28, 2025, Synaptics Incorporated announced the execution of a definitive licensing agreement with Broadcom Inc. which encompasses a range of Broadcom's advanced technologies and products including Wi-Fi 8, ultra-wideband, Wi-Fi 7, advanced Bluetooth, and next-generation GPS/GNSS designed for the IoT and Android ecosystem. In a prior agreement dated January 19, 2025, Synaptics entered into an Asset Purchase Agreement with Broadcom to acquire specific assets and take on certain liabilities associated with an Android customer, referred to as the Acquired Customer Business, for a total of $198 million in cash due at the transaction's closing, anticipated to occur on January 30, 2025. The transaction also involves amendments to existing agreements which will allow Synaptics non-exclusive licenses to manufacture and sell products related to the technologies acquired, as well as development services and a commitment from Broadcom not to permit third-party manufacturing for a specified time frame post-closing. Furthermore, the parties will engage in transition services to facilitate the transfer of operational aspects following the acquisition.