Intel rumored to bid $6 billion for cloud chip maker Mellanox

Posted on Wednesday, January 30 2019 @ 11:05 CET by Thomas De Maesschalck

Is Intel about to make another massive investment in Israel? After buying Mobileye for $15 billion in 2017 and investing nearly $16 billion in chip production in the country, the chip giant is reportedly interested in buying Mellanox Technologies.

Reuters writes Intel reportedly offered the company $5.5-$6 billion in cash and stock. Mellanox develops chips and other hardware for data centers.

A $6 billion offer would represent a 35 percent premium to the last closing price of Mellanox on Nasdaq, the Calcalist financial news website said.

Based in Yokneam, Israel, Mellanox makes chips and other hardware for data center servers that power cloud computing.

Intel and Mellanox refused to comment on the rumor.

About the Author

Thomas De Maesschalck

Thomas has been messing with computer since early childhood and firmly believes the Internet is the best thing since sliced bread. Enjoys playing with new tech, is fascinated by science, and passionate about financial markets. When not behind a computer, he can be found with running shoes on or lifting heavy weights in the weight room.

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