Marvell to acquire Inphi for $10 billion

The heat of AMD’s acquisition of Xilinx has not yet faded, and the semiconductor industry will welcome another major merger.

According to foreign media reports on October 29, a person familiar with the matter revealed that Marvell is about to acquire Inphi for $10 billion. Today, Marvell also issued a press release confirming the accuracy of the news.

Marvell and Infra Corporation have entered into a definitive agreement, which has been unanimously approved by the boards of directors of both companies, for Marvell to acquire Inphi in a cash and stock transaction, according to the press release.

When the deal closes, Marvell will create a U.S. semiconductor giant with an enterprise value of about $40 billion, at which point Marvell shareholders will own about 83 percent of the combined company and Inphi shareholders will own about 17 percent. At the same time, Inphi President and CEO Ford Tamer will join Marvell’s board of directors.

The deal is expected to close in the second half of 2021, subject to approvals from Marvell and Inphi shareholders as well as regulators.

Marvell mainly produces memory, analog, digital signal, embedded and logic chips, while Inphi is mainly responsible for providing high-speed analog semiconductor solutions.

Regarding the acquisition, Marvell President and CEO Matt Murphy said the acquisition of Inphi will strengthen Marvell’s leadership in the cloud and expand its presence in 5G over the next decade, while Inphi continues to grow among cloud customers Its influence will also bring more opportunities to Marvell’s DPU and ASIC products.

Ford Tamer, president and CEO of Inphi, also pointed out that the combination with Marvell can significantly increase the company’s scale, accelerate the company’s access to next-generation processing technology, and open up new opportunities for 5G connectivity.

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