Market Buzz: Applied Materials (AMAT) To Buy Tokyo Electron

Category: Companies / Sep 24, 2013 10:49AM EDT

Applied Materials, Inc. (NASDAQ: AMAT), a semiconductor equipment manufacturer, announced on Tuesday it will acquire Tokyo Electron in an all-stock transaction that would create a $29 billion global company. Applied Materials shareholders will own 68 percent of the new company, and Tokyo Electron shareholders will receive 3.25 shares for every existing share. 


On Tuesday, shares of Applied Materials jumped 7 percent to $17.11 in morning trading. 


Video Credit: Reuters