Japan's Renesas to buy U.S. chipmaker IDT for $6.7 billion

Chipmaker Renesas Electronics Corp. said Tuesday it has agreed to buy U.S. peer Integrated Device Technology Inc. for about $6.7 billion (¥747 billion), aiming to boost its expertise in self-driving car technologies. The deal allows Renesas, second only to NXP Semiconductors NV in chips used in cars, to bring on board IDT's know-how in chips for wireless networks and data storage which are crucial for self-driving cars. Renesas will pay $49.00 per share in cash for all IDT outstanding shares, compared with Monday's close of $42.08. The deal is expected to be closed in the first half of 2019, following approval by IDT shareholders and the relevant regulatory authorities, Renesas said in a statement. It will finance the acquisition with ¥679 billion of bank loans and cash, it said in the statement. The firm said the deal with IDT should "strengthen its presence in the industrial and automotive segments."