Broadcom bids $130 Billion to acquire Qualcomm

It was not clear who Broadcom was referring to, but Apple is Qualcomm's biggest customer.

"It's a smart move that would make Broadcom into a tech juggernaut", said GBH Insights analyst Daniel Ives.

The offer came after Broadcom chief executive Hock Tan appeared with President Donald Trump last week and announced the company is likely to relocate its headquarters from Singapore to the US.

On Monday, Qualcomm's shares were up 3 percent at $63.71 in morning trading, suggesting that investors were skeptical a deal would happen.

Qualcomm said it would review the proposal.

Qualcomm is now trying to close its pending $38-billion acquisition of NXP Semiconductors, a leading supplier of chips for vehicles that is also expanding into self-driving technology, and it is believed that Broadcom is open to acquiring NXP. It has pulled off a string of purchases over a decade.

More news: Seven NFL Owners Will Be Deposed Over Collusion Claims From Kaepernick Lawsuit

Herbert Hovenkamp, who teaches antitrust at the University of Pennsylvania Law School, said that U.S. regulators would try to ensure the deal would not lead to higher chip prices.

Any deal struck between the two companies would face intense regulatory scrutiny. Broadcom also got a commitment letter for US$5 billion in financing from private equity Silver Lake Partners, an existing Broadcom investor. The Broadcom proposal stands whether Qualcomm's pending acquisition of NXP Semiconductors N.V. ("NXP") is consummated on the now disclosed terms of $110 per NXP share or the transaction is terminated.

If Broadcom decides to make a hostile bid, Qualcomm's governance rules would allow the rival to submit its own slate for the entire 10-member board by a Dec 7 nomination deadline.

Industry analysts believe that if Apple does not challenge the deal, it's one hurdle that Broadcom will have cleared.

Tan will be in NY and Boston this week for meetings with Qualcomm shareholders, according to people familiar with the matter.

Semiconductor vendor Broadcom is on the verge of making a $130bn (£99bn) bid for chip maker Qualcomm in what would be the largest technology takeover ever, according to reports.

Related Articles

  • Bowe Bergdahl Was Just Dishonorably Discharged. What's That?

    Bowe Bergdahl Was Just Dishonorably Discharged. What's That?

    Bergdahl, who's a traitor, a no-good traitor, who should have been executed", Trump said during an October 2015 campaign rally . Bergdahl's case has sparked fierce emotions among politicians, the general public and the military alike.
    Fresh scrutiny for Sessions on Capitol Hill amid Russian Federation  probe

    Fresh scrutiny for Sessions on Capitol Hill amid Russian Federation probe

    Page said one of the people he met was a "senior person", but would not confirm the person's identity. Democrats say the filings appear to contradict Sessions' sworn testimony before Congress.
    Western Alberta unemployment rate unchanged in October

    Western Alberta unemployment rate unchanged in October

    Among major Canadian cities, only Calgary and Edmonton had higher unemployment rates, at 8.3 and 8.2 per cent respectively. The unemployment rate rose from a postcrisis low, but that was due to more young people searching for work.
  • Carter Page testifies he told Sessions about Russian Federation  trip

    Carter Page testifies he told Sessions about Russian Federation trip

    In that capacity, he oversaw foreign policy George Papadopoulos adviser and encouraged him to meet with Russian contacts. Court documents reveal Papadopoulos exchanging emails with Clovis where they discuss meetings with Russian officials.

    'The Last Republicans' Highlights Former Presidents' Wariness Of Trump

    George HW Bush said he voted for Democratic nominee Hillary Clinton , while his son told Mr Updegrove he did not vote for anyone. "I don't know much about him, but I know he's a blowhard". "I don't like him".
    Cowboys RB Elliott's suspension pushed back at least another week

    Cowboys RB Elliott's suspension pushed back at least another week

    He hasn't considered accepting the punishment, he said, because the consequences affect more than his playing career. The 2016 Rookie of the Year's Cowboys , at 4-3, are chasing the first-place Eagles in the NFC East.
  • Saudi crown prince shocks kingdom with arrests

    Saudi crown prince shocks kingdom with arrests

    In addition to locking down bank accounts, the Saudi government said it will seize any property linked to corruption charges. Bloomberg quoted a senior Saudi official as saying that 11 princes and 38 current or former senior officials were arrested.
    Texas church shooter identified by police as Devin Patrick Kelley

    Texas church shooter identified by police as Devin Patrick Kelley

    The teenaged daughter of the pastor of the Texan church where a gunman shot dead more than 20 people is among the dead. President Trump tweeted from his trip to Asia: "May God be w/ the people of Sutherland Springs, Texas.
    Prime Minister Narendra Modi inaugurates World Food India 2017

    Prime Minister Narendra Modi inaugurates World Food India 2017

    Germany, Japan and Denmark are partner countries to World Food India, while Italy and the Netherlands are the focus countries. The prime minister said simple, home-based techniques had resulted in the creation of Indian dishes famous across the world.
  • Trump Says New York Terror Suspect 'Should Get Death Penalty'

    Trump Says New York Terror Suspect 'Should Get Death Penalty'

    DEATH PENALTY!" And he urged Congress to end the Diversity Immigrant Visa programme under which Saipov entered the USA in 2010. By afternoon, though, Saipov was in federal court facing charges that include providing material support to a terrorist group.
    Beyonce set to join cast of 2019 'The Lion King' remake

    Beyonce set to join cast of 2019 'The Lion King' remake

    When news of The Lion King remake first broke we weren't too bothered. "If Beyoncé's in it, it's called the Lion Queen ". Rounding out the cast are JD McCrary as Young Simba and Shahadi Wright Joseph as Young Nala .
    Listen To New Music From Taylor Swift

    Listen To New Music From Taylor Swift

    The most recent addition to the singer's to-do list is a NY pop-up store, set to sell all of her reputation tour merch , on November 12-16.