Knowles to sell Consumer MEMS Microphones unit to Syntiant for $150 million
Knowles agreed to sell its Consumer MEMS Microphones business to Syntiant Corp for $150 million, consisting of $70 million in cash and $80 million in Syntiant Series D-2 preferred stock, subject to adjustments. The company said it intends to use the net cash proceeds to pay down debt and repurchase company stock, and it updated its third quarter 2024 guidance to present the business as discontinued operations.
- Total consideration of $150 million: $70 million in cash and $80 million in Syntiant preferred stock, subject to working capital and other adjustments
- Closing is expected in the fourth quarter of 2024 and is subject to regulatory approvals and other conditions; either party may terminate if the deal has not closed by December 31, 2024, subject to extensions
- Third quarter 2024 revenue from continuing operations guided to $139 million to $143 million; fourth quarter 2024 revenue outlook is $140 million to $150 million
- Pro forma 2023 revenue excluding the business was $559.8 million, per the filing's reconciliation