SiTime Agrees to Buy Renesas Timing Unit in $2.9 Billion Deal

Analog chipmaker SiTime Corp. has agreed to acquire Renesas Electronics Corp.’s timing unit in a cash-and-stock transaction valued at about $2.9 billion.

SiTime said in a joint statement with Renesas that it’s buying the business for $1.5 billion in cash and 4.13 million of its shares, which closed Wednesday at $347.96 apiece. SiTime is funding the cash portion with cash on hand and $900 million in a fully committed debt financing from Wells Fargo & Co., according to the statement.

The companies said that Renesas Chief Executive Officer Hidetoshi Shibata will join SiTime’s board after the transaction closes, ...