Texas Instruments buys Silicon Labs for $7.5B

What happened

Texas Instruments ($TXN) agreed to acquire Silicon Laboratories ($SLAB) for about $7.5B in cash at $231/share (about a 69% premium). The goal is to expand its wireless connectivity footprint (industrial + consumer IoT). Deal is expected to close in 1H 2027 and targets about $450M in annual manufacturing + operating savings within 3 years after closing.

Winners

Deal arb and M&A beneficiaries

A big cash premium can pull up sentiment/valuations across adjacent wireless/IoT chip names and encourages “who’s next?” positioning.

Names: $SLAB (Silicon Labs), $TXN (Texas Instruments)

US semiconductor manufacturing and capex supply chain

TI is a major US-based manufacturer; integrating products and driving cost synergies typi ...