Marvell has agreed to acquire Lumentum in a $115 billion all-stock transaction, described as the largest-ever merger between publicly traded companies. Lumentum shareholders will receive 4.5 Marvell shares for each Lumentum share.
Marvell Technology has agreed to acquire Lumentum in a $115 billion all-stock transaction. Lumentum shareholders are expected to receive 4.5 Marvell shares for each share they hold, and the companies describe the transaction as the largest-ever merger between publicly traded companies.
The transaction is being undertaken against market capitalisations of approximately $76 billion for Lumentum and approximately $172 billion for Marvell, and Nvidia has reportedly expressed a positive assessment as a strategic investor. According to the announcement, synergies from the merger are expected to produce results within 2 years that the companies could not achieve independently.
Murphy described the transaction as a historic day, while Hurlston of Lumentum said that both companies continued to achieve high growth. The merger combines the provision of AI connectivity technology for semiconductors with the provision of optical components, and both companies are headquartered in Northern California.