Broadcom to acquire Mobilink Telecom

Broadcom has signed an agreement to acquire Mobilink Telecom, a supplier of chipsets and reference designs for mobile phones, PDAs and cellular modem cards.

Mobilink’s products are currently in production and being used by major manufacturers of devices designed for the Global System for Mobile Communications (GSM). Additionally, Mobilink is completing field-testing and certification of its General Packet Radio Service (GPRS) products, targeted to a market that delivers Internet Protocol packet services to over 650 million GSM subscribers.

Mobilink’s product offering includes an all-CMOS single-chip baseband processor, protocol stacks, and MMI (Man-Machine Interface) and application software, as well as customised final product designs tailored to its customers’ specifications.

The merger transaction is expected to close within 60 days and will be accounted for under the purchase method of accounting.

The boards of directors of both companies have approved the merger, which awaits approval by Mobilink’s shareholders and the satisfaction of regulatory requirements and other customary closing conditions.