Lam Research to acquire KLA-Tencor in a $10.6 billion deal

Under the terms of the agreement, Lam will acquire KLA-Tencor in a cash and stock deal valued at roughly USD 10.6 billion. KLA-Tencor stockholders will be entitled to elect to receive “USD 32.00 in cash and 0.5 of a share of Lam Research common stock, in all-cash, all-stock, or mixed consideration, subject to proration as more fully described in the merger agreement,” the companies write in an announcement. "Lam Research and KLA-Tencor's shared commitment to collaboration and building strong customer trust, along with our respective track records of innovation, product leadership, and operational excellence, position us as a combined company to deliver the higher levels of technology differentiation and speed to solutions that are critical to our customers' long-term success," said Martin Anstice, Lam's president and chief executive officer. The transaction is expected to close in mid-calendar year 2016, pending the receipt of customary regulatory approvals.