Avago Technologies will acquire Broadcom in a cash and stock transaction that values the combined company at $77 billion in enterprise value.

Upon completion of the acquisition, the combined company will have the most diversified communications platform in the semiconductor industry, with combined annual revenues of approximately $15 billion.

“Today’s announcement marks the combination of the unparalleled engineering prowess of Broadcom with Avago’s heritage of technology from HP, AT&T, and LSI Logic, in a landmark transaction for the semiconductor industry,” said Hock Tan, president and CEO of Avago.

“The combination of Avago and Broadcom creates a global diversified leader in wired and wireless communication semiconductors. Avago has established a strong track record of successfully integrating companies onto its platform. Together with Broadcom, we intend to bring the combined company to a level of profitability consistent with Avago’s long-term target model.”

Following completion of the transaction, Tan will continue to serve as president and CEO of the combined company, which will adopt the name Broadcom Limited.

Henry Samueli, co-founder, CTO and chairman of the board of Broadcom, will join the board of the combined company as will another director from Broadcom. In addition, Samueli will be appointed CTO of the combined company.

Dr. Henry T. Nicholas, co-founder and past CEO of Broadcom, will serve in a strategic advisory role within the combined company, reporting to Tan.

Avago will acquire Broadcom for $17 billion in cash consideration and the economic equivalent of approximately 140 million Avago ordinary shares, valued at $20 billion as of May 27, 2015, resulting in Broadcom shareholders owning approximately 32% of the combined company. Based on Avago’s closing share price as of May 27, 2015, the implied value of the total transaction consideration for Broadcom is $37 billion.