Synaptics scoops up Validity in huge cash and stock deal
The major deal, worth $255 million in cash and stock is seen by Synaptics as a way to gain access to the growing biometrics market. Currently, Synaptics creates human interface sensors – including touchpads and touchscreens – for electronic devices. The purchase of Validity rounds out the Synaptics portfolio, with the addition of fingerprint sensing capabilities.
“Biometrics has long been of interest to Synaptics as it complements our existing touch-based solutions and offers an exciting new way to interact with devices,” Rick Bergman, President and CEO, Synaptics said. “We are thrilled to be adding the world class Validity team to the Synaptics family. This acquisition is a significant step forward for the company and serves as a proof point of our dedication for continued growth, innovation and commitment to providing the industry’s best and broadest portfolio of human interface solutions.”
The stock component of this deal is expected to be in the range of 1.5 million to 2.3 million shares. The deal is expected to close this quarter.
“Synaptics’ acquisition of Validity puts our vision of having Natural ID on every mobile computing device on the fast track,” Rob Baxter, CEO, Validity said. “The opportunity for our people, our shareholders and our technology, along with Synaptics’ commitment to owning the human interface, made this partnership a natural fit. The acquisition adds Validity’s world-class biometrics engineering team to a Synaptics team known for in-depth, system level engineering expertise.”
Validity has targeted its fingerprint sensors to the mobile market, and it’s likely these sensors could soon be seen in Android phones.