Power Integrations buys Potentia Semi for $5.5M

Power Integrations has acquired Potentia Semiconductor, a developer of controller chips for high-power AC/DC power supplies. Potentia's engineering team, based in Ottawa, Canada, will form the core of a new analog design group for Power Integrations focused primarily on high-power applications.

"Like Power Integrations, Potentia is focused on developing innovative power-conversion ICs and system designs that reduce the size, complexity and energy usage of power supplies," said Balu Balakrishnan, president and CEO of Power Integrations. "Their design capabilities and intellectual property will accelerate our efforts to address high-power applications and significantly expand our addressable market."

The company paid approximately $5.5 million in cash for Potentia, including closing costs. The acquisition closed on Dec. 31, 2007. Power Integrations' financial results for Q4 07 include a one-time charge of $1.4 million for purchased in-process R&D expenses.