On Nov. 2, AI-powered fabless semiconductor giant Marvell Technology Inc. MRVL entered into a definitive agreement to acquire photonics major Lumentum Holdings Inc. LITE in an all-stock deal valued at approximately $115 billion. Every Lumentum stockholder will receive 4.5 Marvel shares, valuing LITE at around $1,132 per share. Post-close, MRVL and LITE shareholders will own 67% and 33% of the combined company, respectively. The deal is expected to close in the first half of 2028. Lumentum currently carries a Zacks Rank #3 (Hold), while Marvell currently has a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. The chart below shows the price performance of MRVL and LITE year to date.
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