Marvell will acquire Lumentum in an all-stock deal. Lumentum stockholders will receive 4.5 Marvell shares per share. The deal values Lumentum at $115 billion. Post-close, Marvell stockholders will own 67% of the combined company. Lumentum stockholders will own 33%. Matt Murphy will remain Chairman and CEO. Three Lumentum board members will join Marvell’s board. The combined company targets a $550 billion addressable market. It expects $1 billion in annual cost synergies. The deal is expected to be accretive to Marvell’s earnings in year one. The companies aim to lead in AI connectivity by integrating electrical and optical technologies. The transaction awaits stockholder and regulatory approvals.
What changed
Marvell and Lumentum operated as separate companies with distinct electrical and optical technology portfolios.
What it unlocks
End-to-end extreme co-design and high-volume production of pre-validated optical solutions for AI infrastructure.
- $115 billion implied enterprise value
- $1,132 per Lumentum share
- 23.9% premium
- $550 billion combined addressable market
What you need to act on it
- Marvell and Lumentum stockholder approval
- regulatory approvals
- customary closing conditions
- expected close in first half of 2028
Sources