Broadcom Completes Allayer Purchase

Irvine communications chip maker Broadcom Corp. completed its purchase of a San Jose company Wednesday for $116.4 million worth of stock, based on Wednesday’s closing price of $138.25 a share.

Broadcom said in a press release that it issued 839,467 shares for Allayer Communications, a developer of optical networking communications chips, and reserved an additional 426,980 shares to cover the exercise of outstanding Allayer stock options and other rights.

Broadcom said it will issue 300,000 more shares should Allayer meet certain performance goals.