Tuesday, March 8, 2016
The NY Post reports Marvell (MRVL +2.5%) is now open to selling itself. Broadcom (AVGO -1%), the product of a giant recently-closed merger between Avago and (traditional) Broadcom, is mentioned by a source as a potential buyer.
Light Reading reported last July Avago is looking to bid for Marvell after the Broadcom deal closes. In the event of a deal, there could be some antitrust scrutiny regarding Ethernet and Wi-Fi/Bluetooth combo chip overlap.
The Post's report comes shortly after the end of Marvell's Audit Committee probe (no fraudulent activity was found), and a month after activist Starboard Value disclosed a 6.7% stake (followed a 2013 stake disclosure by KKR), while calling for fresh cost cuts. Marvell also recently settled Carnegie Mellon's infringement suit against the company for $750M.
Marvell is higher on a morning the Nasdaq is down 0.3%.
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