Marvell Technology Group Ltd. said late Monday that it plans to buy Avera Semiconductor from Santa Clara, Calif.-based Global Foundries for $650 million in cash. Avera is the application-specific integrated circuit business of Global Foundries. “With their highly experienced design team and Marvell’s leading technology platform, we will be better positioned to capitalize on our expanding opportunity in wired and wireless infrastructure, starting immediately in the fast growing 5G base station market,” said Marvell Chief Executive Matt Murphy in a statement. Marvell, which expects to close the transaction by the end of January, said Global Foundries will also be eligible for an additional $90 million in cash “if certain business conditions are satisfied within the next 15 months.” Marvell shares rose 1.9% after hours, following a 3.9% drop to close the regular session at $21.74.Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.
Latest posts by Market Watch (see all)
- Trump has reportedly suggested nuking hurricanes headed toward the U.S. - August 25, 2019
- The Wall Street Journal: Aides say Trump not ordering U.S. companies to leave China — just suggesting - August 25, 2019
- Key Words: Gathering ‘scalps?’ Trump allies say they’ll dig dirt against perceived enemies in media - August 25, 2019