Mellanox Technologies Ltd. (MLNX - Get Report) soared nearly 8% to $88.01 on Wednesday as Intel Corp. (INTC - Get Report) reportedly placed a bid to acquire the Israeli big data connectivity company, according to Globes.
Intel's bid of about $5.5 to $5.6 billion represents a 30% premium on Mellanox's closing price on Tuesday of $81.67. The Times of Israel reported the bid was closer to a $6 billion cash-and-stock deal, which would place a 35% premium over the last closing price.Mellanox is a rival to Intel. The company makes hardware and chips that allow for faster transmission of big data. Mellanox caters to server farms with mega computers and has several universities, NASA, Dell Technologies and Hewlett Packard Enterprise as clients.
Neither Intel nor Mellanox have commented on the bid.