ON Semiconductor has completed its $31.4m acquisition of the CMOS Image Sensor Business Unit (ISBU) from Cypress Semiconductor.

It was an all cash deal. The purchase price was approximately 1x annual sales for the division.

The ISBU includes a broad portfolio of custom and standard CMOS image sensors used in multi-megapixel machine vision, linear and two dimensional (2D) bar code imaging, medical x-ray imaging, biometrics, digital photography and cinematography, and aerospace applications, said ON Semiconductor.

The acquired products include the VITA, LUPA, STAR and IBIS families.

ISBU is expected to become an integrated part of ON Semiconductor’s Digital, Military/Aerospace and Image Sensor (DMI) division and report to DMI vice-president Vince Hopkin.

Hopkin said the acquisition consolidates ON Semiconductor’s position as a worldwide image sensor supplier and a supplier of CMOS Image Sensor products.

Hopkin said, "In addition, the acquisition strengthens the company’s talent base and adds an experienced design and applications engineering team for the image sensor market segment.

"Overall, the 2D high-speed CMOS image sensors from the ISBU significantly strengthens and complements ON Semiconductor’s image sensor products for the industrial, medical, computing and military/aerospace markets."

With the acquisition, ON Semiconductor acquires approximately 100 patents and receives appropriate intellectual property licenses from Cypress Semiconductor in order to continue to conduct and grow the business.

As part of the transaction, approximately 70 Cypress Semiconductor ISBU employees join the ON Semiconductor organisation. The majority of these employees are located in Mechelen, Belgium, said the compnay.