Stock Alert: Marvell Technology Slides 10% After Deal To Acquire Inphi Corp.

(RTTNews) - Shares of Marvell Technology Group Ltd. (MRVL) are losing more than 10 percent or $4.00 in Thursday's morning trade at $35.53, after the chipmaker said it agreed to acquire peer Inphi Corp. (IPHI) in a cash and stock deal. The transaction, reportedly valued at $10 billion, is expected to close by the second half of calendar 2021.

In conjunction with the transaction, Marvell said it intends to reorganize so that the combined company will be domiciled in the U.S., with an enterprise value of about $40 billion. The transaction consideration will consist of $66 in cash and 2.323 shares of stock of the combined company for each Inphi share.

Marvell Technology has traded in a range of $16.45 to $45.04 in the past 52 weeks.