Silicon Motion Technology Corporation (NASDAQGS: SIMO) (“Silicon Motion” or “the Company”) commenced an arbitration against MaxLinear, Inc. for breaching its May 5, 2022 agreement to acquire the Company (the “Merger Agreement”).
The claim was filed in the Singapore International Arbitration Centre (“SIAC”), as provided under the Merger Agreement. In the arbitration, the Company seeks payment of the termination fee of $160 million, further substantial damages, interest and costs. The Company has nominated an arbitrator. Each party is entitled to nominate one arbitrator and the party-nominated arbitrators will jointly nominate a third arbitrator (or, if they fail to do so, the third arbitrator will be appointed by the SIAC).
Under the SIAC Arbitration Rules, all matters relating to the proceedings are confidential.