Deals
Marvell CEO Upheaval Clears Path to Takeover as Activist Presses
- Husband and wife company co-founders to remain on the board
- Changes may make chipmaker more receptive to sale offers
Sehat Sutardja.
Photographer: David Paul Morris/BloombergThis article is for subscribers only.
The management changes at Marvell Technology Group Ltd. remove a major hurdle to a possible acquisition of the chipmaker, the target of an activist investor agitating for new leadership amid falling sales and accounting missteps.
Chief Executive Officer Sehat Sutardja and his wife, President Weili Dai, who founded the company in 1995, will leave their executive positions, but remain on the board, Marvell said Tuesday in a statement. An internal investigation last month faulted a “tone at the top” for pressuring sales staff to meet financial targets.