'I've Been Dreaming About This,' Nvidia CEO Says After $7B Mellanox Acquisition Deal Finally Closed

Nvidia Corporation NVDA chief executive officer Jensen Huang on Monday told CNBC that the company's acquisition of Mellanox Technologies Ltd. MLNX is a "homerun deal."

What Happened

"Man, I've been dreaming about this," Huang said, as Nvidia announced the completion of the acquisition earlier in the day.

An agreement of acquisition was reached in March last year between the two companies, but regulatory approval delayed the closing.

Mellanox has a significant business in China, including with Alibaba Group Holdings Ltd. BABA and Baidu Inc. BIDU, and as trade tensions between the United States and China heightened, the latter withheld the approval until April 16, according to CNBC.

Huang noted that the merger will improve Huang's infrastructure footing.

"We're combining the leaders of AI computing and high speed networking and data processing into one company and, so, this is really quite extraordinary," he told the CNBC "Mad Money" host Jim Cramer.

Nvidia had beaten Intel Corporation INTC and Microsoft Corporation MSFT in the race to acquire Mellanox back in 2019, as reported by TechCrunch at the time, and the deal's completion will help the company better compete with its rivals.

Price Action

Nvidia's shares closed 2.6% higher at $297.08 on Monday. The shares traded about 0.7% higher at $299.00 in the after-hours session.

Photo Credit: NVIDIA Taiwan via Wikimedia.