This Dublin firm has sold off its chip business for $35m to focus on connected health
S3 Semiconductors was sold to a US company.
DUBLIN-HEADQUARTERED S3 Group has sold off its semiconductor business to US company Adesto so it can focus on its connected health operations.
Adesto, which develops chips for internet of things devices, acquired the semiconductor business from the S3 Group for $35 million (€29 million).
S3 Semiconductors was founded in 1986 as a spinout from technology giant Philips, which maintains a stake in the company despite selling down its majority share in 2006.
The S3 division developed semiconductors for communications and industrial internet of things use cases, such as manufacturing. It also has a presence in Cork.
The deal marks the latest move for the Leopardstown-based S3 Group as it refocuses its businesses solely on connected health.
In 2015, its S3 TV Technology arm, which created technology solutions for TV broadcasters and streaming services, was acquired by Accenture for an undisclosed figure.
The latest deal will help Adesto to significantly expand its customer base, said Adesto chief executive Narbeh Derhacobian. The NASDAQ-listed company also announced this week that it booked revenues of $15.3 million in the first three months of the year.
All eyes on health
Now that S3 Group has shed all of its other business divisions, it will focus entirely on connected health.
It is developing software for medical professionals to engage with patients and plaforms that help patients adhere to their treatment and medication.
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Its main product is Affinial, a software product that tracks a patient’s treatment progress and provides data anlytics.
S3′s connected health arm has operations in Ireland, Poland and the US where it employs 170 people.
