Marvell to acquire Lumentum in $100 billion stock deal
Marvell has finalized an acquisition of Lumentum in a deal valued at approximately $100 billion, the largest merger between two listed tech companies to date. Lumentum shareholders will receive equity in the combined entity, a structure investors view as expensive.
Marvell has finalized an acquisition of Lumentum, a leading provider of optical data transmission, in a deal valued at approximately $100 billion. This represents the largest merger between two listed tech companies to date. Lumentum shareholders will receive equity in the combined entity rather than cash. Following the announcement, Lumentum shares declined slightly despite recent gains on rumors, while Marvell shares continued to fall. Investors view the deal as expensive because approximately one-third of the combined company will be owned by Lumentum shareholders. The transaction highlights the growing importance of optical data transmission in the tech sector.