The all-cash offer, valued at about $606 million, will remain open until May 4, unless it is terminated or extended. The transaction is subject to customary closing conditions, including the approval of Emulex’s stockholders and board of directors. If approved, the transaction is expected to close in the second half of Avago’s fiscal year, which closes Nov. 1.
According to IHS Technology, Avago had a banner year in 2014, with revenue growing to $5.4 billion, more than double the $2.6 billion the company posted in 2013. This growth allowed Avago to move into the top 20 among chip suppliers, ranking 15th in sales for the year, up from 23rd in 2013.
IHS said Avago was the fastest growing chip firm among the top 20 in 2014, mostly as the result of acquisitions.
Avago’s MEMS sales also grew 9% in 2014, enough for the company to rank sixth in MEMS sales.
This growth was based on the strength of Avago’s BAW filter business, which is currently experiencing resurgence thanks to Long Term Evolution (LTE).
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