Thursday, August 20, 2009

Microsemi Settles DOJ Suit Over Semicoa

Irvine-based Microsemi is reporting this afternoon that it has settled a civil lawsuit against the firm by the U.S. Department of Justice, after the firm sold the assets of semiconductor firm Semicoa to an unnamed, third party. The DOJ had sued Microsemi in December, after the July acquisition of the assets of Semicoa, a provider of semiconductors for the military and commercial market. Microsemi said there would not be a material impact on its current quarterly results. Microsemi had paid $25M in cash for Semicoa, which was based in Costa Mesa. The DOJ suit had claimed that as a result of the transaction, Microsemi eliminated or reduced competition in the development, manufacture, and sales of certain semiconductors used in military and space programs--essential to the security of the United States--creating a monopoly on those parts and raising prices.

---