Acquisition Details
Custom chip designer Marvell has signed a deal to acquire optical chip and networking equipment maker Lumentum in an all-stock deal with an enterprise value of $115 billion including debt and an equity value of about $80 billion. Marvell will provide 4.5 shares of its common stock for each share of Lumentum.
This positions the transaction among the largest technology acquisitions in history, comparing to historical multi-billion-dollar corporate buyouts.
Shared Nvidia Backing
Both companies share Nvidia as a major shareholder. Nvidia previously invested $2 billion in Lumentum to support advanced laser component research and development, and also made a $2 billion investment in Marvell to strengthen its optical networking and chip portfolio.
Market Impact and Timeline
By integrating Lumentum, Marvell aims to establish a dominant position in AI connectivity across silicon chips and data center infrastructure. The acquisition is scheduled to close in the first half of calendar year 2028, pending regulatory approval and shareholder consent.
