Marvell agrees to buy Lumentum in an all-stock deal valued at $115 billion to bulk up in AI data-centre optics
Lumentum holders get 4.5 Marvell shares each, about $1,132 a share and a 23.9% premium to the October 28 close; Marvell holders would own about 67% of the combined company, and the deal needs shareholder and regulatory approval, with closing expected in the first half of 2028.
Why it matters
Marvell is paying in its own shares, so the headline value will move with its stock price until the deal closes. The bet is that optical connections between chips and servers, Lumentum's speciality, will matter as much to AI data centres as the chips themselves. Closing is not expected until the first half of 2028, which leaves a long window for shareholder votes and regulatory approvals. Watch how both stocks trade and whether any regulator signals concerns.
Key facts
- Deal value: $115 billion, all stock
- 4.5 Marvell shares per Lumentum share
- About $1,132 a share, 23.9% premium to October 28 close
- Marvell holders to own about 67%
- Closing expected in first half of 2028
How the story developed
- 2 Nov, 13:00 UTC Breaking Marvell agrees to buy Lumentum in an all-stock deal valued at $115 billion to bulk up in AI data-centre optics
- 2 Nov, 14:00 UTC Confirmed Marvell agrees to buy Lumentum in an all-stock deal valued at $115 billion to bulk up in AI data-centre optics