Avago Technologies, a supplier of components for wireless communications, agreed to buy LSI Corp. in a deal valued at $6.6 billion in cash.

Avago will pay $1 billion in cash and use a $4.6 billion term loan, the companies said in a statement. Silverlake Partners will provide a $1 billion investment.

The acquisition, which creates a semiconductor company with about $5 billion in annual revenue, will boost Avago’s free cash flow and earnings per share immediately.

LSI’s stockholders will receive $11.15 in cash for each share of LSI common stock at the completion of the deal, which is expected to be in the first half of 2014, according to today’s statement.

LSI fell 0.4 percent to $7.91 at the close in New York on Dec. 13. Avago slipped 0.2 percent to $45.65.