BRIEF-Cohu to buy Xcerra for total enterprise value of about $627 mln

May 8 (Reuters) – Cohu Inc:

* COHU TO ACQUIRE XCERRA CREATING GLOBAL LEADER IN BACK-END SEMICONDUCTOR EQUIPMENT

* XCERRA SHAREHOLDERS WILL BE ENTITLED TO RECEIVE $9.00 IN CASH AND 0.2109 OF A SHARE OF COHU COMMON STOCK

* COMPLEMENTARY ACQUISITION EXPECTED TO CREATE DIVERSIFIED REVENUE BASE AND EXPAND ADDRESSABLE MARKET TO $5 BILLION

* TRANSACTION VALUES XCERRA AT $13.92 PER SHARE, OR APPROXIMATELY $796 MILLION IN EQUITY VALUE

* DEAL FOR TOTAL ENTERPRISE VALUE OF ABOUT $627 MILLION, AFTER EXCLUDING XCERRA’S CASH AND MARKETABLE SECURITIES NET OF DEBT

* TO FUND CASH PAYABLE TO XCERRA SHAREHOLDERS WITH COMBINATION OF CASH ON HAND AND APPROXIMATELY $350 MILLION IN DEBT FINANCING

* XCERRA SHAREHOLDERS ARE EXPECTED TO OWN APPROXIMATELY 30% OF COMBINED COMPANY UPON CLOSING OF TRANSACTION

* LUIS MÜLLER WILL REMAIN PRESIDENT AND CHIEF EXECUTIVE OFFICER AND LEAD COMBINED COMPANY

* COHU – DEAL IS EXPECTED TO BE IMMEDIATELY ACCRETIVE TO NON-GAAP EPS, GENERATE OVER $20 MILLION OF ANNUAL RUN-RATE COST SYNERGIES WITHIN 2 YEARS OF CLOSING

* JEFF JONES WILL CONTINUE TO SERVE AS VICE PRESIDENT OF FINANCE AND CHIEF FINANCIAL OFFICER Source text for Eikon: Further company coverage:



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