-BUZZ-MaxLinear fall on downbeat revenue forecast, scrapped merger with Silicon Motion

MaxLinear

27/07/2023 15:40

(Updates)
    ** Shares of integrated circuit design co MaxLinear Inc
 MXL.O  down 20.23% at $23.64
    ** Co expects Q3 revenue to be about $125-$155 mln, below
analysts' ests of $172.4 mln
    ** Posts Q2 rev of $183.9 mln, also missing analysts' ests
of $190.3 mln 
    ** Co said on Wednesday it has scrapped a deal to acquire
Taiwan-based Silicon Motion  SIMO.O ; MXL had agreed to buy SIMO
in May last year in a cash-and-stock deal worth $4 billion
    ** SIMO on Thursday says termination of its merger agreement
is "invalid" and MaxLinear intends to "vigorously" enforce its
rights under the merger agreement
    ** Post results, at least four brokerages cut PT on MXL
    ** MXL shares down 30.19% YTD


 (Reporting by Rupali Chaudhary in Bengaluru)
 ((Rupali.chaudhary@thomsonreuters.com))