ON Semiconductor to buy Catalyst Semiconductor in all-stock transaction; Catalyst soars 54%

Catalyst Semiconductor Inc. (Nasdaq:CATS) is soaring 54% in today’s trading after signing a definitive merger agreement with ON Semiconductor Corporation (Nasdaq:ONNN). The all-stock transaction will provide Catalyst shareholders with 0.706 shares of ON Semiconductor stock for each share of Catalyst they own. The overall deal is valued at about $115 million. The companies expect the transaction to close in the fourth quarter of 2008.

Catalyst is a Santa Clara, Calif.-based semiconductor product maker, while ON Semiconductor is a Phoenix-based provider of power and data management semiconductors.

In today’s trading, Catalyst shares are at $6.21 at 9:58 a.m. ET, up $2.15 from Wednesday’s close. Trading volume is more than triple the average number of shares.

For detailed price information and recent news stories about Catalyst Semiconductor Inc., click CATS. For information about ON Semiconductor Corporation, click ONNN.

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