US Justice Dept Sues Microsemi Corp Over Semicoa Deal
The Justice Department's antitrust regulators said the deal eliminated or reduced competition in the market for semiconductor devices used in essential U.S. military and space programs.
"While consolidation within the defense industry in certain circumstances may be beneficial, in this case, the Departments of Justice and Defense are united in the view that Microsemi's acquisition of the Semicoa assets is not likely to result in savings to DOD but would result in higher costs, lower quality of service, and increased supply vulnerability," Deborah A. Garza, the department's chief antitrust enforcer, said in a statement.
The department filed its lawsuit in an Alexandria, Va., federal court.
Microsemi is based in Irvine, Calif. Its sales for this fiscal year were $500 million.
Microsemi shares are quoted at $13.15 in after-hours trading.
-By Brent Kendall, Dow Jones Newswires; 202-862-9222; brent.kendall@dowjones.com
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Publié le 18 Décembre 2008 Copyright © 2008 Dowjones
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