NEW YORK ( TheStreet) -- Intel ( INTC) and Altera ( ALTR) spiked Friday on reports the two are close to a $16 billion merger. Avago Technologies ( AVGO) jumped after a price target increase. Apple ( AAPL) fell a day after rival Google ( GOOGL) unveiled plans for a mobile payment system, Android Pay.
Altera soared 4% to end the session at $48.85, while Intel jumped 1.3% to close at $34.46.
Intel is close to reaching a $16 billion buyout deal for Altera, according to a Reuters report. A deal may be struck in the coming days, according to the report.
Altera reportedly rebuffed Intel's earlier offer of $54 a share in April and a stand-still agreement between the two companies that prevents Intel from launching a hostile bid for the company is set to expire on June 1, according to Reuters.
Meanwhile, although Intel jumped Friday, it is stepping into a heavy resistance zone, testing its February high. The February high hit a cap at $34.75. The chip giant has traded in a tight range during the year, with a 52-week high of $37.90 and low of $26.72.
Avago Technologies spiked 4% to close at $148.07.
The chip maker gained after Brean Capital increased its price target on the company to $180 from $145, citing its recent merger announcement with Broadcom (BRCM).
Brean described the $37 billion merger as creating a "powerhouse communications semiconductors" company. The merger is the largest to date in the chip industry.
Avago also reported mixed second-quarter results after the markets closed Thursday, saying it earned $2.13 per share on $1.61 billion in revenue. Analysts were expecting earnings of $2.01 a share on nearly $1.64 billion in revenue.