Shares in Israel-based Mellanox Technologies (Nasdaq: MLNX) surged last week week drew to a close on rumors that either IBM (NYSE: IBM) or Oracle (Nasdaq: ORCL) might buy the firm for $6 billion.
Globes newspaper in Israel reported the possibility of a deal on Thursday.
Mellanox shares closed Friday at $103.92, up $2.09 or 2 percent from Thursday’s close.
The increase gave Mellanox a market cap value of $4.2 billion.
Mellanox shares jumped 7.5 percent to top $100 on Thursday, the highest level since the company’s initial public offering in 2007.
However, Mellanox Chief Executive Officer Eyal Waldman said he preferred that the company remain independent,
“We see greater growth for the company remaining independent,” Waldman wrote in an e-mailed message to Bloomberg News.
Oracle or IBM may acquire the company for $150 per share, Globes reported, without saying how it obtained the information.
Mellanox sees growth in the storage business and seeks to use its technology to serve more markets and applications, Waldman said in a Bloomberg Television interview. He said on July 24 the company will use its cash reserves for more acquisitions before rewarding shareholders with dividends and stock buybacks.
IBM employs some 10,000 people across North Carolina.
(Bloomberg news contributed to this report.)