Mellanox wins Intel contract, shares hit life high
(Reuters) - Mellanox Technologies Ltd won a contract to supply chip equipment to Intel Corp for use in servers, sending shares of the Israel-based company to a lifetime high.
The contract is for Mellanox's ConnectX-3 FDR InfiniBand adapter silicon. The InfiniBand standard is used to connect servers with each other in high-performance computing and large data centers.
Other details of the contract were not announced.
Intel's recently launched Romley platform, which calls for faster connection between servers, has led to higher demand for Mellanox's interconnect products.
Shares of the company, which also counts Hewlett-Packard Co and IBM Corp as customers, rose as much as 10 percent to $68.26 on Monday on the Nasdaq.
(Reporting by Sruthi Ramakrishnan in Bangalore; Editing by Sreejiraj Eluvangal)