Qualcomm Says Broadcom's Overtures Not Striking Right Notes
Qualcomm today said Broadcom's acquisition offer simply isn't good enough as currently proposed. The companies met earlier this week to go over some of the finer points of Broadcom's $121 billion bid to purchase Qualcomm, and Qualcomm still came away leery that the deal won't work out. To start, Broadcom reiterated that its offer of $82 per share is its best offer, a figure that Qualcomm insists undervalues the company. Further, Qualcomm said Broadcom resisted the idea of agreeing to "commitments that could be expected to be required by ... government regulatory bodies." Moreover, Broadcom refused to discuss how it would treat Qualcomm's licensing business, a matter that would make predicting antitrust-related issues difficult. Broadcom insisted on controlling all materials regarding the licensing business between signing the deal and closing the deal — something Qualcomm says violates antitrust laws. Last, Qualcomm called Broadcom's breakup fee, should the deal not pass regulatory muster, far short of what might be needed to compensate Qualcomm stockholders for the risks involved. Qualcomm concluded by saying, "The current Broadcom proposal is unacceptable." As it did earlier, however, Qualcomm left the door open for Broadcom to improve its offer. Qualcomm said it would meet with Broadcom again should Broadcom up the ante and make more assurances concerning the risks involved.
Broadcom Lowers Offer for Qualcomm, Qualcomm Says No Way
Broadcom revised its offer to acquire Qualcomm downward by $3 per share after Qualcomm increased its own bid to buy NXP Semiconductors. Broadcom said, "Qualcomm's board acted against the best interests of its stockholders by unilaterally transferring excessive value to NXP's activist stockholders." Broadcom would have preferred to see Qualcomm act together with Broadcom to broker the right deal for NXP while still allowing Broadcom to move forward with its own offer to buy Qualcomm.
Qualcomm Says It Met with Broadcom to Discuss Acquisition
Qualcomm today said members of its board of directors and senior management met with Broadcom to talk about the latter's acquisition offer. Broadcom offered to buy Qualcomm for $121 billion, but Qualcomm shot the deal down.
Qualcomm Rejects Broadcom's Latest Acquisition Offer, But Leaves Door Open
Qualcomm's board of directors today unanimously rejected Broadcom's revised bid to acquire the company for $121 billion. Qualcomm's board continues to insist that Broadcom is undervaluing Qualcomm's overall worth.
Qualcomm Rejects Broadcom's Acquisition Offer
Qualcomm's board of directors today unanimously rejected Broadcom's Nov. 6 offer to buy the company in a deal that would have been valued at approximately $130 billion.