STM to buy NXP's MEMS sensors business for up to $950M

STM to buy NXP's MEMS sensors business for up to $950M

STMicroelectronics (STM) has announced its intention to acquire NXP Semiconductors' (NXPI) MEMS sensors business for a purchase price of up to US$950 million in cash. The transaction will be financed from ST's existing liquidity and is expected to be accretive to earnings per share upon completion [1].

The acquisition will strengthen STM's position in the MEMS sensors market, with the combined portfolio targeting automotive safety sensors, industrial applications, and consumer electronics. The MEMS sensors business acquired from NXP generated about US$300 million in revenue in 2024, with significant gross and operating margins that will be accretive to STM's earnings [1].

Marco Cassis, President of STM's Analog, Power & Discrete, MEMS and Sensors Group, stated, "The planned acquisition is a great strategic fit for ST. Together with our existing MEMS portfolio, these highly complementary technologies and customer relationships will strengthen our position in sensors across key segments in automotive, industrial and consumer applications" [1].

Jens Hinrichsen, Executive Vice President and General Manager of NXP's Analog and Automotive Embedded Systems, noted, "NXP is a leading supplier of automotive MEMS based motion and pressure sensors, with a long history of strong customer adoption. However, after careful portfolio review, the company has decided the business does not fit into its long-term strategic direction" [1].

The acquisition is expected to close in the first half of 2026, subject to customary closing conditions, including regulatory approvals [1]. The transaction will enhance STM's MEMS technology, product R&D capabilities, and roadmap, with leading IP, technology, and products for automotive safety applications, and highly skilled R&D teams [1].

References:
[1] https://www.globenewswire.com/news-release/2025/07/24/3121481/0/en/STMicroelectronics-to-strengthen-position-in-sensors-with-acquisition-of-NXP-s-MEMS-sensors-business.html