Business & Finance
Marvell plans all-stock purchase of Lumentum to expand AI connectivity
Marvell puts the implied enterprise value at $115 billion, and the deal is expected to close in the first half of 2028.
The short version
- Marvell said it will acquire optical components maker Lumentum in an all-stock transaction.[CBS News · CNBC]
- Marvell puts the implied enterprise value at $115 billion, and Lumentum shareholders would receive 4.5 Marvell shares per share.[CBS News · CNBC]
- CEO Matt Murphy said AI infrastructure is shifting toward optical connectivity.[CBS News · CNBC]
- Closing is expected in the first half of 2028 and requires stockholder approval, while CNBC and CBS News reported different early share declines.[CBS News · CNBC]
Key facts
- Marvell announced Monday that it will acquire Lumentum in an all-stock transaction.[CBS News · CNBC]
- Marvell states the transaction has an implied enterprise value of $115 billion for Lumentum.[CBS News · CNBC]
- Lumentum shareholders would receive 4.5 Marvell shares for each Lumentum share.[CNBC]
- The deal is expected to close in the first half of 2028 and is subject to stockholder approval.[CBS News · CNBC]
- Marvell Chairman and CEO Matt Murphy said AI infrastructure is undergoing a fundamental architectural shift toward optical connectivity.[CBS News · CNBC]
- CNBC reported Marvell shares fell 3% and Lumentum about 4% before the bell.[CNBC]
- CBS News reported Marvell shares fell more than 1% before the opening bell and Lumentum almost 3% after the announcement.[CBS News]
What remains uncertain
- Early share-price declines are reported differently by CNBC and CBS News, so the market reaction is unresolved.[CBS News · CNBC]
- The final deal value depends on Marvell's share price because the exchange ratio is fixed and the deal has no cash component.[CNBC]
- Closing timing and stockholder approval remain pending, and the first-half 2028 timeline is an expectation rather than a confirmed date.[CBS News · CNBC]
Sources
Outlet counts describe coverage, not independent confirmation. Reports may share a wire service or original source.