Momentum #1 - USA car sales on the rise
By Sherri Cruz
Wednesday, October 27, 2010
Sales at Orange County auto dealers rose again in September, jumping 23% from a year earlier to 11,812 vehicles, according to the Newport Beach-based Orange County Automobile Dealers Association.
The figure is based on new auto registrations with the state, a barometer of sales.
The percent increase is the largest of the year for the recovering industry.
For the year through September, auto dealer sales were up nearly 13% to 80,990 autos.
Many auto brands saw higher sales.
South Korean automakers Hyundai and Kia, which have their U.S. bases in Orange County, fared well.
Hyundai was up 121% to 691 autos. Kia was up 20% to 323 autos.
Luxury car sales improved for all but Lexus.
Mercedes-Benz was up 63% to 780 autos. BMW was up 33% to 603 autos. Lexus was off 15% to 507 autos.
Jaguar and Porsche boosted sales in September.
Jaguar was up 65% to 33 autos. Porsche was up 32% to 66 autos.
Decliners included Chevrolet, Chrysler and Nissan.
Momentum #2 - accretive acquisition by ONNN
Transaction is expected to be accretive to ON Semiconductor’s Non-GAAP earnings per share approximately twelve months after closing
PHOENIX, Ariz. – July 15, 2010 (NASDAQ:JST) – ON Semiconductor Corporation (Nasdaq: ONNN), and SANYO Electric Co., Ltd. (TSE: 6764), today announced the signing of a definitive purchase agreement providing for the acquisition of SANYO Semiconductor Co., Ltd., a subsidiary of SANYO Electric, and other assets related to SANYO Electric’s semiconductor business, by ON Semiconductor in a cash and stock transaction with a purchase price of approximately $366 million (¥33.0 billion), subject to adjustment pursuant to the terms of the transaction. Based on the most recently completed quarter, SANYO Semiconductor’s annualized revenue was approximately $1.2 billion and the annualized revenue of the combined entity would be approximately $3.5 billion. The acquisition is expected to be completed before the end of 2010.
- Highly complementary products, customers and geographic regions
- Expected to provide SANYO Semiconductor customers with access to advanced front-end mixed-signal and analog manufacturing, and ultra high volume back-end facilities
- Expected to provide ON Semiconductor with access to market-leading Japanese and Asian customers
- Significant efficiency gains expected through optimization of manufacturing, process technology platforms and efficient capital investments
- Transaction is expected to be accretive to ON Semiconductor non-GAAP EPS approximately 12 months after closing
“The pending acquisition of SANYO Semiconductor is another significant step by ON Semiconductor to solidify its position as a premier global supplier of high-performance, energy efficient silicon solutions with increased manufacturing scale and an expanded addressable market,” said Keith Jackson, president and CEO of ON Semiconductor. “By combining these two highly complementary businesses, we will be better positioned to capture growth on a global scale. We believe the union of ON Semiconductor and SANYO Semiconductor will greatly enhance our presence in the automotive and consumer end-markets and significantly strengthen our geographic presence in the Asia-Pacific region. Strategically, this acquisition is expected to provide us with increased access to an important part of the global semiconductor market - the Japanese market, where SANYO Semiconductor has a more than 50 year operating history, and a longstanding presence at leading electronics manufacturers.”
This acquisition will expand and strengthen ON Semiconductor’s product portfolio, adding new capabilities ranging from microcontrollers and custom Application Specific Integrated Circuits (ASICs) to integrated power modules and motor control devices for the consumer, automotive and industrial end-markets.