Marvell Technology has reached a definitive agreement to acquire Lumentum in an all-stock transaction. According to Odaily, Lumentum shareholders will receive 4.5 shares of Marvell common stock for each share they hold. After the deal closes, Marvell’s existing shareholders are expected to own about 67% of the combined company, with Lumentum shareholders holding about 33%.
The transaction is expected to close in the first half of 2028, subject to approval by both companies’ shareholders and regulators. Marvell expects the combination to generate more than $1 billion in annual cost synergies and increase non-GAAP earnings per share in the first year after closing. The combined company’s target market is expected to expand to $550 billion.