Marvell Technology has agreed to acquire rival semiconductor company Inphi .
The cash-and-stock deal will lead to a combined company with an enterprise value of about $40 billion. Under the deal, Marvell will pay $66 a share in cash and 2.323 shares of stock for each share of Inphi. Inphi will be worth $157.83 a share, according to the deal’s terms.
"Our acquisition of Inphi will fuel Marvell's leadership in the cloud and extend our 5G position over the next decade," said Matt Murphy, Marvell CEO and president. "Inphi's technologies are at the heart of cloud data center networks and they continue to extend their leadership with innovative new products, including 400G data center interconnect optical modules, which leverage their unique silicon photonics and DSP technologies. We believe that Inphi's growing presence with cloud customers will also lead to additional opportunities for Marvell's DPU and ASIC products."
The deal is expected to close by the second half of 2021.