KLA-Tencor ( KLAC) reached a deal to buy Therma-Wave ( TWAV) in a $75 million transaction.

The acquisition values each share of Therma-Wave at $1.65. Both companies are involved in making products used in semiconductor manufacturing.

"This acquisition will expand KLA-Tencor's portfolio of metrology tools, while strengthening our customers' access to Therma-Wave's advanced measurement capabilities," Rick Wallace, CEO of KLA, said in a statement.

Shares of Therma-Wave were surging 29.6% to $1.62. KLA was up 1.7% at $51.01.

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