Marvell Technology to Acquire Lumentum in $115 Billion All-Stock Deal
Marvell Technology (MRVL) has agreed to acquire Lumentum (LITE) in an all-stock transaction valued at approximately $115 billion. The merger aims to integrate Marvell's chip design capabilities with Lumentum's specialized laser technology, addressing the growing demand for light-based data connections within AI data centers. The deal appears to have significant strategic backing from Nvidia (NVDA), which previously invested $2 billion in Lumentum and $2 billion in Marvell. Under the merger terms, Nvidia will retain special investment protections and is estimated to hold a 2.5% stake in the combined entity. This move positions Marvell as a strengthened competitor to Broadcom (AVGO) in the custom AI chip and networking market.
Tickers: $AVGO $COHR $CRWD $LITE $MRVL $NVDA $ORCL $TCEHY
Topics: Artificial Intelligence M&A Optical Communications Semiconductors