- Marvell Technology Inc
- 02 November 2026 13:24:58
Source: Sharecast
Lumentum shareholders will receive a fixed exchange ratio of 4.500 shares of Marvell common stock for each share of their shares. Once the deal closes, current Marvell shareholders will own around 67% of the combined company on a fully diluted basis, while Lumentum shareholders will own 33%.
The combined company will have a total addressable market of $550bn and the deal is expected to enhance its long-term revenue growth, non-GAAP gross margin and non-GAAP operating margin profile, and provide line of sight to more than $1bn in annual run-rate cost synergies. Marvell also said it’s expected to be accretive to its non-GAAP earnings per share in year one post-close.
Marvell chairman and chief executive Matt Murphy said: "AI infrastructure is undergoing a fundamental architectural shift toward optical connectivity, creating an opportunity that comes along once in a generation.
"The companies that move first and help define this transition will set the standard for decades to come. By bringing together two leaders with highly complementary technologies, exceptional talent and specialised manufacturing capabilities, we intend to help shape the next era of AI connectivity and create exceptional stockholder value."
Once the deal closes, Murphy will continue as chairman and CEO of the combined company.
Lumentum president and CEO Michael Hurlston said: "Joining Marvell creates a company uniquely positioned to capitalise on a market opportunity of $550 billion and generate significant, sustainable stockholder value.
"Surging AI data traffic requires rapid hardware innovation, and this combination enhances our ability to deliver next-generation solutions at scale. Together with Marvell, we will meet our customers' complete interconnect needs, spanning scale-across and scale-out today to scale-up and scale-in domains tomorrow. By offering extreme co-design around our customers' demanding requirements, we will help them achieve faster time to market, accelerated innovation cycles and category-defining performance."