Marvell Technology to acquire Cavium for $6 billion

Here's What's Coming Up On Pre Market Prep For Nov. 20

Marvell Technology Group, a manufacturer of storage, networking, and processing chips, will purchase fellow fabless semiconductor firm Cavium for $6 billion. Instead of focusing Marvell's business efforts exclusively on chips that control hard drive disks, Murphy has switched gears to add more offerings in data center and wireless communication technology.

Shares of Marvell were down 0.8 percent to $20.14, while Cavium was up 7 percent at $81.14 in early trading.

The deal will allow Marvell to diversify away from its traditional storage devices business following an agreement with Starboard Value a year ago to accept three new directors nominated by the activist hedge fund to its board.

Analysts say the new leadership is preparing a number of important new product launches for later this year after refreshing 25 products in 18 months. The potential deal came to light November 3 when a Wall Street Journal report said the companies were in "advanced" talks.

North Korea On Nuclear Weapons Program: 'There Will Not Be Negotiations'
But analysts said Song might have limited influence given the mistrust between North Korean leader Kim Jong-un and Beijing. According to the NIS, those punished included the powerful bureau's chief Hwang Pyong So and his deputy Kim Won Hong.

Murphy will lead the combined company, and Syed Ali, Cavium co-founder and CEO, will be a strategic advisor as well as a member of Marvell's board of directors.

A buyout of Cavium would give a boost to the networking ambitions of Marvell, which has clients such as network giants Cisco and Juniper Networks.

The big acquisition deal in progress in the semiconductor space might be Broadcom's rejected bid to take over Qualcomm, but a pair of less-prominent names in the space have come to terms.

Under the deal, Marvell will offer $40.00 per share in cash and 2.1757 of its shares for each Cavium share. Intel now dominates the server market, but the combined Marvell-Cavium company will be better suited to take on the giant chipmaker than Cavium alone.

Related News:



Most liked

Second Woman Accuses Sen. Franken of Touching Her Inappropriately in 2010
Franken, already a senator for two years, reportedly came in during an event and the two made a decision to take a photo together. Lindsay Menz, 33, told CNN in an interview that Franken grabbed her buttocks when they posed for a photo together in 2010.

Aaron Jones facing marijuana charge following October traffic stop
He was ultimately sent into a pretrial diversion program that results in charges being dropped upon completion of the program. According to the police report, Jones was stopped on Highway 172 at 11:37 a.m. on Sunday, Oct. 1.

The Best Celebrity Instagrams from the 2017 American Music Awards
The most special look of the evening, however, was an outfit Tracee borrowed from Diana Ross's closet. I just want to say congratulations on your lifetime achievement award I want to say congratulations.

Ontario college strike ends after 5 weeks
The NDP forced the legislature to sit through the weekend to debate the bill, ultimately passing it on Sunday. Colleges have extended the fall semester to make up for lost time.

Trump declares North Korea a state sponsor of terrorism
U.S. student Warmbier died this year, aged 22, after he was repatriated from detention in North Korea, already in a coma. Other analysts said Pyongyang could use the designation as a pretext for renewed weapons tests after a two-month hiatus.

Study Finds That Dog Owners Live Longer
There is some inherent quality that a dog has that tears at your heart when it looks at you with puppy eyes and the wagging tail. The researchers can't provide proof dog ownership actually causes a decrease in risk for cardiovascular disease.

Former Wimbledon champion Jana Novotna dies, 49, after long battle with cancer
It is known that the tennis player was sick with cancer, and died at home, in the Czech Republic, surrounded by his loved ones. Novotna was also a three-time Olympic medallist and won the Fed Cup championship in 1998 as part of the Czech Republic team.

Star Wars Battlefront II Official Launch: EA stops Microtransactions
Prior to the controversy, the sequel was expected to actually sell more than Battlefield 1 by United Kingdom retailers. Which is what you'd expect the company to say, since the last thing it wants to do is spook the investors.

U.S. 1960s cult killer Charles Manson dies at 83
Authorities in California announced that Manson died of natural causes in a local hospital. At the time of Charles Manson's trial, she camped outside the court with other followers.

Padmavati row: Seconding BJP, Congress says won't tolerate distortion of history
Padmavati has the remarkable star cast Deepika Padukone as Rani Padmini, Shahid Kapoor as her husband Maharawal Ratan Singh, and Ranveer Singh as Alauddin Khilji.

Former Union Minister Priya Ranjan Dasmunsi dead
He is survived by wife Deepa Dasmunsi, who's also a Congress leader and former minister, and son Priyadeep Dasmunshi. "When I captained India to the President's Cup in Dhaka, Dasmunshi was our team manager and Milovan was the coach".

Two Dead After Being Infected With Legionnaires' Disease, Illness Linked to Disneyland
The Los Angeles Times reports that two patients have died, but neither of these visited Disneyland. These towers were treated with chemicals that destroy the bacteria and are now shut down.

OnePlus 3 & 3T receiving Android 8.0 Oreo update
All users of the OnePlus 3 and OnePlus 3T will receive the OxygenOS 5.0 with Android 8 .0 Oreo update in the coming days. OnePlus is one of the smartphone brands that has been consistent in rolling out timely updates to its devices.

SelGo, Bieber seals the deal with a kiss at hockey game
She completed this edgy ensemble with rose-tinted shades and a bold red clip. Like what, when two people are meant to be together, they always end up.

Jay-Z writes article in the New York Times defending Meek Mill
Jay went on to argue that people who are "trapped in the criminal justice system are punished every day". We could literally shut down jails if we treated people on parole or probation more fairly.