Mellanox Technologies Ltd. (MLNX:US) jumped to the highest level on record in New York after Globes newspaper reported that Oracle Corp. (ORCL:US) or International Business Machines Corp (IBM:US) may buy the Israeli company for $6 billion.
Mellanox shares jumped 7.5 percent to $100.5 by 12:09 p.m. in New York, the highest level since the company’s initial public offering in 2007. The Tel Aviv shares of the Yokneam Elit, Israel-based company closed 5.2 percent higher at 395.70 shekels, or the equivalent of $96.91.
Oracle or IBM may acquire the company for $150 per share, Globes reported, without saying how it obtained the information.
“We see greater growth for the company remaining independent,” Waldman wrote in an e-mailed message to Bloomberg News.
Mellanox sees growth in the storage business and seeks to use its technology to serve more markets and applications, Waldman said in a Bloomberg Television interview. He said on July 24 the company will use its cash reserves for more acquisitions before rewarding shareholders with dividends and stock buybacks.
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