SiTime Corporation (NasdaqGM:SITM), which specializes in chips that keep circuits in sync inside data centers, is in talks to acquire Renesas Electronics Corporation's (TSE:6723) timing unit, according to people familiar with the matter. Santa Clara, California-based SiTime is discussing the terms of a potential deal for the Renesas division, which manufactures the clocks that synchronize the signals in wireless infrastructure, networking and data centers, the people said. If a deal is struck, it could value the timing business at up to $2 billion, including debt, the people said, asking not to be identified discussing confidential information.
Negotiations between the two parties are ongoing and there?s no certainty they?ll result in an agreement, the people said. Another suitor could also emerge or terms of the deal could change, they added. A representative for SiTime didn?t respond to requests for comment, while a Renesas spokesperson declined to comment.
Reuters previously reported on the Japanese company?s plans to sell the unit.
