Big Payday For NetLogic Shareholders

NetLogic NETL shareholders were greeted with some good news this morning, as the company's board of directors announced that it has agreed to a buyout offer from semiconductor heavyweight Broadcom BRCM. The terms of the deal appear very generous, as BRCM is paying $50 per share, which is a better than 50% premium over NetLogic's Friday closing price. During Monday's trading session, NETL shares are up 50.27% to $47.97 on the news. The deal, valued at $3.7 billion, has been approved by both company's boards, but still needs approval from U.S. and international regulatory agencies. NetLogic builds computer chips and is working on "multi-core and knowledge-based processors," as well as technology used in next-generation wireless base stations used by telecom companies. Broadcom shares have fallen 2.72% to $32.54 on the news.