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Microsemi Corp. Completes Acquisition of Vitesse Semiconductor Corp.

Semiconductor manufacturer Microsemi Corp. closed its acquisition of Vitesse Semiconductor Corp. on Tuesday in a deal valued at $389 million.

The purchase of Vitesse, in Camarillo, by the Aliso Viejo company is being driven by the growth of the “Internet of Things,” or the wireless connection between devices in both industrial and consumer applications.

Vitesse, with about 350 employees, makes semiconductors optimized for such connections, while Microsemi supplies integrated circuits to telecommunications, defense, security, aerospace and industrial markets. The company has more than 3,000 employees.

The merger is expected to bring $20 million of cost savings-related synergies on an annual basis, resulting in earnings per share growth of 16 cents to 20 cents in fiscal year ending Sept. 30, 2016.

Shares of Vitesse stopped trading on Monday at $5.28. Shares of Microsemi closed up 32 cents, or nearly 1 percent, to $33.33 on the Nasdaq.

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