A potential deal for Marvell to acquire the maker of AI data-center optics would avoid a cash premium, with reports indicating the buyout would be a share-for-share exchange. According to CNBC, Marvell and Lumentum have largely agreed on the valuation of the transaction, and an official announcement could be made as soon as next week.
The proposed merger would combine Marvell’s networking chips and custom silicon with Lumentum’s lasers and transceivers to create a more integrated AI infrastructure platform. Lumentum has a market value of approximately $83B, while Marvell is valued at about $221B. Neither company has commented on the discussions, though Nvidia holds a $2B investment in both firms.