MANHASSET, N.Y. Semiconductor supplier Avago Technologies has agreed to sell its printer ASIC business to Marvell for $240 million in cash.
Avago Technologies (San Jose), expects the sale, slated to close in 60 days, to help the company focus on its core businesses and reduce the debt related to its Dec. 2005 buyout from Agilent Technologies.
Marvell (Santa Clara, Calif.) may pay an additional $35 million based upon the achievement of certain revenue targets by the printer ASICs business.
"We believe the opportunities for growth and success for the Printer ASICs business are best achieved by combining the unit with Marvell, given their desire to leverage their broad portfolio of high-performance silicon solutions," said Dick Chang, president and CEO of Avago Technologies, in a statement. "The sale also allows Avago to focus on strengthening its remaining businesses through internal investments and acquisitions."