Friday, October 2, 2015

EZchip Acquired By Mellanox For $811M

Sunnyvale-based EZchip, a developer of high speed, network processing semiconductors, has been acquired by Israeli server interconnect maker Mellanox, in a deal worth $811M. According to Mellanox Technologies, it will pay $25.50 per share for each share of EZchip, with a transaction value of $811M. The deal is worth approximately $620M after accounting for cash on hand at EZchip. Mellanox said the buy is the first step in a strategy to become a broad-line supplier of intellligent interconnects for the software defined data center market. Mellanox was advised by J.P. Morgan, Herzog Fox & Neeman, and Latham & Watkins LLP in the deal; EZchip was advised by Barclays, Naschitz, Brandes, Amir & Co. and Carter Ledyard & Milburn LLP.