Marvell Technology ($MRVL) agreed November 2 to acquire Lumentum ($LITE) in an all-stock transaction valuing the optical technology company at approximately $115 billion, including debt. The combination brings together Marvell’s custom chips and networking technology with Lumentum’s lasers and optical components for AI infrastructure.
- Lumentum shareholders will receive 4.5 Marvell shares per share, implying approximately $1,132 per share based on October 28 prices—a 23.9% premium to Lumentum’s unaffected closing price.
- Marvell shareholders will own approximately 67% of the combined company, with Lumentum shareholders owning 33%.
- The companies anticipate more than $1 billion in annual run-rate cost savings and an increase in Marvell’s adjusted earnings per share in the first year after closing.
- Both boards unanimously approved the agreement. Closing is expected in the first half of 2028, subject to shareholder and regulatory approvals.
- Marvell CEO Matt Murphy will lead the combined company. Three Lumentum directors will join Marvell’s board.
Relevant Companies
- Marvell Technology ($MRVL): Acquirer expanding its optical connectivity portfolio.
- Lumentum ($LITE): Acquisition target whose shareholders will receive Marvell stock.
Editor’s Note: This is a developing story. This article may be updated as more details become available.
