PMC Sierra (PMCS) this afternoon reported Q3 revenue of $162.3 million, with non-GAAP profits of 18 cents a share, about in line with the Street at $162.1 million and 18 cents.
Meanwhile, the company also announced that it has agreed to buy Wintegra, a provider of network processors for mobile backhaul equipment for $240 million, or $213 million net of the company’s $27 million in net cash. PMC will finance the deal with balance sheet cash.The company could pay up to an additional $60 million in based based on performance through 2011.
Wintegra has 165 employees, with most of its developers in Ra’anana, Israel and Austin, Texas.
The deal is expected to close in Q4. PMCS said the deal should be immediately accretive.
In late trading, PMCS is down 6 cents, or 0.9%, to $6.95.
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