Teradyne has signed a agreement to acquire semiconductor automated test equipment vendor Eagle Test Systems for approximately $250 million.

The deal, which is subject to traditional closing conditions including the approval of Eagle Test shareholders, would represent the latest development in an ongoing wave of consolidation in the troubled ATE industry.

The acquisition is expected to close in the fourth quarter of 2008, the companies said, after which Eagle Test will be run as a business unit within Teradyne's Semiconductor Test Division.