Listed German semiconductor manufacturer
Infineon itself has been approached by some of the world’s largest buyout groups to discuss a potential public-to-private of the firm, according to reports, which claim that buyout groups mulling a takeover include Silver Lake Partners, Permira, CVC Capital Partners and Kohlberg Kravis Roberts (KKR).
Takeover speculation comes naturally in the wake of Infineon’s announced disposal programme. In November 2005, Infineon announced a strategic realignment to “carve out” its memory products business and focus on the logic business, which comprised the automotive, industrial electronics and multimarket (AIM) and the communications business groups
Now, observers believe that the 2006 initial public offering of Infineon’s memory products subsidiary Qimonda was a ruse to discourage hostile takeover approaches. Although this flushed cash into Infineon’s coffers, its remaining 86% stake in Qimonda might entice offers: Infineon’s lock-up period ends in this month.