Japanese chipmaker Renesas is reportedly planning to buy US-based competitor Intersil for $3bn.
According to the Wall Street Journal, Renesas is "considering various options for growth" and is looking at a 300bn yen price for the company. Intersil's share price rocketed 19 per cent on the news, now valuing it as $2.5bn on revenue of $522m and net income of $7.2m.
If it happens, this will be just the latest in a flood of mergers and acquisitions in the US chip market. Last year the Dutch chipmaker NXT Semiconductors bought US chipmakers Freescale for $11.8bn while Singapore-based Avago made a $37bn bid for Broadcom. ®