Sunnyvale, California–Maxim Integrated Products, Inc. and Dallas Semiconductor Corp. today announced an agreement under which Maxim will purchase Dallas Semiconductor, a leading provider of specialty semiconductors.

Based on Maxim’s closing price on January 26, 2001, each outstanding share of Dallas Semiconductor will be exchanged for 0.6163 of a share of Maxim, and Maxim will issue approximately $2.5 billion of stock for all outstanding shares and stock options of Dallas Semiconductor.

“The synergy and growth opportunity of combining our organizations and product lines was apparent to both sides from the start of our discussions,” says Jack Gifford, chairman, president, and CEO of Maxim. “Dallas Semiconductor has many product lines that are complementary to Maxim’s, and we look forward to giving more visibility to Dallas Semiconductor’s excellent digital and mixed-signal circuits in both the domestic and the international marketplaces. We believe that the cultures of the two companies are closely aligned in their focus on product proliferation and engineering innovation. Dallas Semiconductor has an extremely talented group of professionals, and there is no plan for a workforce reduction.”