NEW YORK (TheStreet) -- Fusion-io (FIO) stock is spiking on news SanDisk (SNDK) has agreed to acquire the company in an all-cash transaction worth $1.1 billion. The offer of $11.25 per share represents a 21.2% premium to Friday's closing price of $9.28. 

The offer is expected to close during SanDisk's third quarter and will be accretive in the second half of fiscal 2015. 

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"Fusion-io will accelerate our efforts to enable the flash-transformed data center, helping companies better manage increasingly heavy data workloads at a lower total cost of ownership," said SanDisk president Sanjay Mehrotra in a statement. "Customers will benefit from the addition of Fusion-io's leading PCIe solutions to SanDisk's vertically integrated business model."

Shortly after market open, Fusion-io shares had soared 22.4% to $11.36, while trading volume of 4.4 million shares was nearly double its three-month daily average. 

SanDisk stock had gained 2.4% to $100.81. 

Also See: Fusion-io Q&A: Apple, Facebook, Merger Speculation

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