Semtech to buy Sierra Wireless in US$1.2B deal

California-based semiconductor maker Semtech has struck a deal to buy Canadian Internet of Things specialist Sierra Wireless

Semtech will pay US$31 per share for Sierra; the deal’s total enterprise value is US$1.2 billion.

It brings to an end speculation that a deal was in the works after Bloomberg News reported on takeover talks between the two companies Monday.

Semtech said the deal will expand its addressable market and roughly double its annual revenue. It also said it expects the transaction to immediately add to its bottom line.