What Lumentum Shareholders Get in Marvell's $115 Billion Deal: 4.5 Marvell Shares Each
Marvell will buy Lumentum in an all-stock deal announced Nov. 2, 2026. Lumentum closed down 18.59% that day as oil fell and chip shares sold off.
Marvell Technology agreed on Nov. 2, 2026 to buy Lumentum Holdings in an all-stock transaction with an implied enterprise value of about $115 billion. Both boards unanimously approved the agreement, according to a joint announcement filed with the U.S. Securities and Exchange Commission.
Lumentum shareholders will receive 4.5 shares of Marvell common stock for each Lumentum share. Both stocks rose in early trading, with Lumentum up 2.47% and Marvell up 1.24% at 7:26 a.m. ET, according to TheStreet. Both finished the day lower. Stocktitan reported that Lumentum closed down 18.59%.
How the Fixed Exchange Ratio Sets the Offer Value
The filing puts the implied value at about $1,132 per Lumentum share. That is a premium of about 23.9% to each company's unaffected closing price as of Oct. 28, 2026, the last trading day before market speculation about a potential transaction began.
The exchange ratio is fixed at 4.5 Marvell shares for each Lumentum share. Because the consideration is stock, the dollar value of the offer moves with Marvell's share price. At the Nov. 2 closing prices, 4.5 Marvell shares were worth about $771. Lumentum closed at $684.40, a gap of roughly 11% below the implied offer value, by arithmetic from those two closes.
On a fully diluted, pro forma basis, current Marvell stockholders would own about 67% of the combined company. Current Lumentum stockholders would hold about 33%.
Shares Fall as Oil Drops and Chip Stocks Sell Off
Marvell closed at $171.41 on Nov. 2, down 12.72% from $196.40 on Oct. 30, according to Stocktitan. Stocktitan also reports that Marvell has fallen about 32% since Oct. 28, when it closed at $251.65. Declines deepened through the day. TheStreet had Marvell down 5.31% and Lumentum down 10.34% at 10:50 a.m. ET, and Marvell down 8.73% and Lumentum down 14.07% at 12:28 p.m. ET, both among the biggest S&P 500 decliners at that point. Stocktitan lists Marvell among the tech decliners as stocks kept falling into the close.
TheStreet's closing market wrap, at 4:01 p.m. ET, gave the Dow Jones Industrial Average at 51,983.98, up 0.41%. It gave the S&P 500 at 7,541.40, down 0.51%, and the Nasdaq Composite at 25,164.32, down 1.07%. Stocktitan reported the same percentage moves and said the Nasdaq had been up as much as 1.4% earlier in the day. TheStreet's page also noted the midterm elections on Nov. 3 and Apple's earnings report after the close.
The Motley Fool reported that crude oil fell more than 7% on Nov. 2 and attributed the drop to investors betting on a diplomatic resolution to the conflict with Iran. Stocktitan gives Brent crude a close of $104.77 a barrel, down 7.63%, and ties the decline to hopes that the U.S. and Iran may resume peace talks. Earlier, at 7:04 a.m. ET, TheStreet had WTI down 4.58% to $99.35 and Brent down 4.49% to $108.30, on reports of Iran-Qatar talks aimed at ending the conflict.
Stocktitan links the tech decline to investors moving money out of tech stocks and into other parts of the market. It also cites Oracle's plan to sell $10 billion of stock and $10 billion of bonds, which added to concerns about whether enough money is available to fund the AI buildout. TheStreet reported that tech shares had sold off the previous Friday after disappointing earnings from Amazon and Alphabet.
What Executives Said and Who Runs the Combined Company
Matt Murphy, Marvell's chairman and CEO, said AI infrastructure is undergoing a "fundamental architectural shift" toward optical connectivity.
Michael Hurlston, Lumentum's president and CEO, said joining Marvell creates a company positioned to capitalize on a market opportunity of $550 billion.
Murphy will remain chairman and CEO of the combined company. Three Lumentum board members, including Hurlston, will join Marvell's board, which currently has seven directors.
Approvals Required Before the Deal Can Close
The companies expect the transaction to close in the first half of calendar 2028. Closing depends on approval by both companies' stockholders, receipt of regulatory approvals and other customary closing conditions, according to the filing.
As of Nov. 2, 2026, the deal had not closed and remained subject to those conditions. Because the exchange ratio is fixed, the value of the offer will continue to change with Marvell's share price until then.
