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Report: Broadcom Rumored to Buy Israeli Chipmaker Provigent

Irvine-based chipmaker Broadcom Corp. is thought to be in talks to buy Israeli chip startup Provigent Ltd.

Provigent, which has its U.S. headquarters in Santa Clara, could go for $300 million to $400 million, according to a report on Israeli business news website Globes.

Provigent makes chips for broadband wireless networks that help wireless carriers cut down on costs.

The company, which had been prepping for an initial public offering on the Nasdaq exchange, has been in talks with Broadcom “for months,” according to the report.

It’s also been courted by other potential acquirers, including Marvell Technology Group Ltd. and San Diego’s Qualcomm Inc., the report showed.

A spokesman for Broadcom declined to comment.

Provigent has raised some $55 million in venture funds.

Its investors include Pitango Venture Capital, Sequoia Capital, Delta Ventures, Magma Venture Partners, Lightspeed Ventures, Globespan Capital Partner, and Ascend Technology Ventures.

The company has also landed investments from chip industry veterans, including Qualcomm founder Andrew Viterbi and Analog Devices Inc. founder and Chairman Ray Stata.

Broadcom has bought seven Israeli companies to date.

Recent ones include Percello Ltd. for $86 million in Sightic Vista Ltd. for an undisclosed amount in November.

Broadcom’s chips go onto computers, TV set-top boxes, cell phones and consumer electronics.

It’s the area’s biggest chipmaker with $6.6 billion in yearly sales.

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