Texas Instruments said today it signed a definitive agreement to sell
its sensors and control business to Bain Capital, LLC for $3 billion in cash.
Bain is a global private equity investment firm based in Boston.
TI officials said the deal will allow it to focus more
on core areas of the company.
“This agreement is about unlocking value,”
said TI President and CEO Rich Templeton in a statement. “TI will intensify
its focus on our high-growth core digital signal processing and analog
semiconductor opportunities, while sensors and controls will have greater
access to the investment and strategic resources it needs to fuel its future
growth.”
The sensors and controls division is based in Attleboro, Mass., and generates $1
billion in annual revenue. The company has 5,400 employees in the Americas,
Europe and Asia. The sale will not include the radio frequency
identification (RFID) systems operations, which will remain part of TI.
TI’s board of directors has approved the sale, which is expected to be
completed in the first half of this year pending standard regulatory
approval.
Thomas Wroe, Jr., the president of sensors and controls, and the current
management team will continue to lead the organization.
Most households contain 30 or more components from the unit in
either their home or cars, and the company ships over a billion devices a
year. About 52 percent of its sales are outside the U.S.
Sensors and controls devices sense pressure, position, temperature and
current to optimize performance and prevent overheating and excess current
in hundreds of applications ranging from vehicle stability to climate
control.
The company also makes products designed to improve operating performance
and efficiency, as well as reduce emissions.
