NXP Semiconductors N.V. agreed to acquire the wireless connectivity business of Marvell Technology Group Ltd. for $1.76 billion in cash.
The all-cash acquisition includes Marvell's WiFi and Bluetooth products and approximately 550 global employees, NXP said May 29.
NXP said the deal should add to its non-GAAP operating profit in the first full quarter after closing, which is expected by the first quarter of 2020, subject to regulatory approvals and other closing conditions.
NXP expects revenue from the acquired business, which came in at approximately $300 million in Marvell's fiscal 2019, to double by 2022.
Shares in NXP were down 2.35% to $87.50 shortly before 10 a.m. ET, while Marvell shares rose 1.59% to $21.69.