Altera shares jump 28% on reported Intel interest

An Altera display at a trade show last year.
Source: Altera
An Altera display at a trade show last year.

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Intel is in talks to buy Altera, the Wall Street Journal reported, citing sources.

Altera had a market value of $10.4 billion as of mid Friday. The company makes chips called programmable logic devices (PLD).

Altera stock was briefly halted Friday afternoon. When it opened up just before 3:40 p.m. ET, the stock rocketed to a more than 28 percent gain on the day. That move represented the company's largest one-day increase ever.

Intel stock rose more than 6 percent after the report.

Shares in Xilinx, which is engaged in a similar field to Altera, rose more than 5 percent after the news. Additionally, the Market Vectors Semiconductor ETF rose to about a 3 percent gain on the day.

To read the full report on Intel's talks with Altera, see the Wall Street Journal's report.