Semtech expects the acquisition to immediately increase non-GAAP EPS and generate $40 million run-rate operating synergies within 12 to 18 months of closing.
“Sierra Wireless brings nearly 30 years of leadership in cellular IoT and a robust and diverse portfolio of IoT solutions from devices to the cloud. Combined with Semtech’s LoRa-enabled end nodes, we believe we are very well positioned to deliver a highly differentiated end-to-end platform to enable the transformation toward a smarter, more sustainable planet,” said Mohan Maheswaran, president and CEO of Semtech. “Our combined company will have strong expertise in high-bandwidth cellular connectivity, ultra-low-power LoRa connectivity, IoT software and services, and extensive knowledge of IoT hardware and software channels and vertical markets. We believe Semtech is uniquely positioned to deliver a robust product portfolio and service model to customers in the high-growth IoT segments.”.
Former Sierra Wireless senior leaders are joining Semtech’s leadership team in two newly formed business groups. Tom Mueller joins as executive vice president of the IoT System Products Group, which includes Semtech’s existing LoRa products business. Ross Gray joins as vice president of the IoT Connected Services Group. Pravin Desale also joins Semtech as senior vice president of IoT Engineering, driving product development for our new systems and solutions.
