Intel’s (INTC) acquisition of Altera, a programmable chip specialist, could be announced next week, according to reports, amid a M&A spree in the semiconductor industry. Apple (AAPL) iPhone chip supplier Avago Technologies (AVGO) and Broadcom (BRCM) confirmed on Thursday a $37 billion merger that would create the world’s No. 3 chipmaker. Intel’s standstill agreement with Altera (ALTR) expires on June 1, giving Intel the option of launching a
Buyout talks between Intel (INTC) and Altera (ALTR) were reportedly renewed after a deal couldn’t be reached in April. Intel could pay $13 billion for Altera as it looks to diversify its chip operations amid waning consumer demand for personal computers, according to the New York Post. Intel makes chips for PCs while Altera makes programmable chips for consumer electronics, cars and other devices. Intel shares were nearly flat in premarket trading
The possible acquisition of Altera (ALTR) by Intel prompted analysts Monday to weigh in with an upgrade, several downgrades and analysis about potential benefits for the companies if the deal comes to fruition. In research reports Monday, analysts had varied reactions about Intel (INTC) possibly acquiring Altera, a possibility first reported Friday by the Wall Street Journal. Analysts at CLSA, Credit Agricole, Macquairie and Morgan Stanley