Avago Completes Acquisition of LSI

Avago Technologies Limited and LSI Corporation announced Avago has completed its acquisition of LSI for $11.15 per share in an all-cash transaction valued at approximately $6.6 billion.

The acquisition creates a diversified semiconductor market leader with approximately $5 billion in projected annual revenues.

Avago believes the acquisition of LSI positions Avago as a leader in the enterprise storage market. The acquisition also expands Avago’s product offerings and brings system-level expertise in its wired infrastructure market. With increased scale and a diversified product portfolio across multiple, attractive end markets, the combined company is positioned to capitalize on the growing opportunities created by the rapid growth in data center IP and mobile data traffic.

In additional to the anticipated strategic benefits of the acquisition, Avago continues to anticipate achieving annual cost savings at a run rate of $200 million by the end of the fiscal year ending November 1, 2015, the first full fiscal year after closing. Avago will include LSI’s contribution to financial performance in the company’s third quarter earnings announcement.

In connection with the closing of the acquisition, LSI’s common stock will cease to be publicly traded on the Nasdaq Stock Market after the close of market yesterday.

Read also:
LSI Acquired by Avago for $6.6 Billion, in Cash and Loans
Most surprising deal of year and probably of storage history
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