Onsemi and Synaptics revised their merger agreement, cutting the deal value to about $5.7 billion from roughly $7 billion in the original June 25 pact.
Under the amended terms, Onsemi will pay $123 a share in cash for Synaptics. The new structure is expected to be immediately accretive to Onsemi’s earnings per share, compared with the prior agreement’s later payoff profile.
Onsemi said it has identified additional value beyond the previously disclosed $200 million in annual run-rate synergies. Those incremental benefits are expected to come from revenue synergies and insourcing part of Synaptics’ production, and are expected to be realized after the first 18 months following closing.
The company said the transaction will be funded with cash on hand and committed debt financing from Morgan Stanley. The amended agreement removes any closing condition tied to financing.
The deal is still expected to close by mid-2027, pending Synaptics shareholder approval and remaining regulatory clearances. The transaction has already been approved by the Federal Trade Commission, while regulators in other jurisdictions continue their reviews. The market has reacted to these announcements by moving the company's shares 4.18% to a price of $80.08. For the full picture, make sure to review ON SEMICONDUCTOR CORP's 8-K report.
