Nvidia Deal for Mellanox Is Said to Be Cleared by EU Antitrust Regulators Without Conditions
The European Union’s antitrust authorities are prepared to clear, without conditions, Nvidia (NVDA) to proceed with its $6.8 billion bid for Mellanox Technologies (MLNX) , a report said.
People familiar with the matter told Reuters the European regulators were set to allow the deal to go through.
Late last week, reports said that the Santa Clara, Calif., maker of graphics chips didn’t offer any concessions to the EU regulators who were reviewing the proposal.
The companies on March said they had definitively agreed to a deal under which Nvidia would pay $125 a share cash for the supplier of interconnection solutions and services for servers and storage.
The deal is designed to boost Nvidia’s data-center and artificial-intelligence businesses, the reports say.
Mellanox has main offices in Sunnyvale, Calif., and in Yokneam, Israel.
The reports said that Nvidia outbid Intel (INTC) for Mellanox.
Nvidia and Mellanox had said in March that their boards had approved the deal and that it remained subject to conditions including regulatory clearances.
Reuters reported last week that the deal was still subject to clearance by Chinese regulators.
Nvidia shares on Wednesday rose after the chipmaker unveiled a series of deals with some of Asia’s biggest tech companies as it continues to expand its offering beyond its videogaming roots.
At last check NVDA stock was 1.1% higher at $230.75.