Tuesday, August 30, 2005

QLogic Sells Disk Drive Business

Aliso Viejo-based Qlogic is selling its hard disk drive controller and tape drive controller business, in a $225M deal. Qlogic, a provider of Fibre Channel host bus adapters and switches, said that Marvell Technology Group will acquire the company's hard drive and tape drive controller business for $180M in cash and $45M in Marvell common stock. The company said that the sale will allow it to focus on the higher growth SAN infrastructure component market. Qlogic also said that its board approved a $350M stock buyback plan.