Infineon Technologies AG has confirmed it is in discussions with interested parties about a transaction concerning its wireless solutions segment (WLS) and that significant progress has been made within these discussions.

The objective of a potential transaction is the strategic development of the WLS and it views the positive development and position of the profitable segment as the main reason for the display of a strategic interest in the segment by several companies.

WLS has an  annual revenue of €917 million (about $1207 million) and has contributed around 30 percent of Infineon’s total annual revenue of €3027 million (about $3990 million) in the past financial year.

WLS provides baseband processors, radio-frequency transceivers, power management ICs or complete single-chip solutions as well as the corresponding system software.

Last week the company announced a boost in profits, raised its guidance for the fourth fiscal quarter and its financial year as well as increasing capex.

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