View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. Technology
December 15, 2011

Lam Research agrees to purchase Novellus Systems for $3.3bn

The combined businesses will be run under the Lam Research name

By Vinod

Semiconductor equipment maker Lam Research said it has agreed to take over its rival Novellus Systems for $3.3bn in stock, according to the companies.

The combined businesses will be run under the Lam Research name and Martin Anstice would be its CEO.

Meanwhile, Lam also announced a $1.6bn stock buyback programme.

Under the terms of agreement, Novellus stockholders will receive 1.125 shares of Lam Research common stock for each Novellus share held, or a 28% premium over its Wednesday closing price.

Lam CEO Steve Newberry said that this strategic combination positions Lam Research to lead the development of next-generation semiconductor manufacturing technology and productivity solutions at a time when growing semiconductor demand and increased device complexity are creating significant business opportunities.

Novellus Chairman Richard Hill hailed the takeover as great news for their customers, investors and employees.

The deal, which is expected to be finalised in the second quarter of 2012, could lead to $100m in cost savings on an annualised basis by late 2013.

Content from our partners
Unlocking growth through hybrid cloud: 5 key takeaways
How businesses can safeguard themselves on the cyber frontline
How hackers’ tactics are evolving in an increasingly complex landscape

Websites in our network
Select and enter your corporate email address Tech Monitor's research, insight and analysis examines the frontiers of digital transformation to help tech leaders navigate the future. Our Changelog newsletter delivers our best work to your inbox every week.
  • CIO
  • CTO
  • CISO
  • CSO
  • CFO
  • CDO
  • CEO
  • Architect Founder
  • MD
  • Director
  • Manager
  • Other
Visit our privacy policy for more information about our services, how New Statesman Media Group may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.
THANK YOU