We are advising Allegro MicroSystems on the acquisition

Davis Polk is advising Allegro MicroSystems, Inc. on its $420 million acquisition of Crocus Technology. The transaction is expected to close by the end of calendar year 2023, subject to the satisfaction of customary regulatory approvals and closing conditions.

Allegro MicroSystems is a leading global designer, developer, fabless manufacturer and marketer of sensor integrated circuits (ICs) and application-specific analog power ICs enabling emerging technologies in the automotive and industrial markets. Allegro’s diverse product portfolio provides efficient and reliable solutions for the electrification of vehicles, automotive ADAS safety features, automation for Industry 4.0 and power saving technologies for data centers and green energy applications.

Founded in 2006, Crocus Technology is a privately held, VC-backed company with over 200 patents and approximately 85 employees. Crocus is a leader in providing advanced tunnel magnetoresistance (TMR) sensor technology solutions to designers and manufacturers of industrial, automotive and consumer electronics. Crocus develops XtremeSense TMR advanced sensor technology which provides the highest sensitivity, lowest power consumption and smallest size by comparison to other magnetic technologies.

The Davis Polk corporate team includes partners Thomas J. Malone and Cheryl Chan and associates Christine Choi and Shuhan Zhang. Partner Frank J. Azzopardi and associate Mikaela Dealissia are providing intellectual property advice. Partner Kyoko Takahashi Lin and associate Laura S. Lee are providing executive compensation advice. Partner Michael Mollerus is providing tax advice. Partner Paul D. Marquardt is providing CFIUS advice. All members of the Davis Polk team are based in the New York and Washington DC offices.