Qualcomm Again Rejects Broadcom's $150 Bn Acquisition Offer

A sign on the Qualcomm campus is seen in San Diego California

A sign on the Qualcomm campus is seen in San Diego California

Qualcomm rejected a record $121 billion hostile bid from computer chip rival Broadcom but offered to meet with the Singapore-based firm to discuss the recently increased offer. "If Qualcomm agreed to be acquired by Broadcom and the deal failed to close after extended regulatory review, Qualcomm would be enormously and irreparably damaged", Jacobs wrote.

Qualcomm has rejected the improved takeover offer from Broadcom, saying it undervalues the company and has too much regulatory uncertainty. There is a possibility it will happen though because in March, shareholders will vote for new board members. "Your proposal is inferior relative to our prospects as an independent company and is significantly below both trading and transaction multiples in our sector", the Qualcomm chairman wrote. Broadcom made the revised offer on Monday, up from the previously proposed deal price of $70 per share.

Former President Bush says Russian Federation interfered with vote in the US
US President Donald Trump speaks on tax policy during a visit to Sheffer Corporation, Monday, February 5, 2018, in Blue Ash, Ohio. The nonprofit was founded by philanthropist Michael Milken known as the "junk bond king".

This proposal to acquire Qualcomm is extremely compelling compared to any other alternative available to Qualcomm, with or without the acquisition of NXP, and we believe any responsible board would engage with us, without further delay, to turn this proposal into an executed definitive agreement.

After months of to-and-fro, Qualcomm has rejected Broadcom's latest acquisition proposal, which has been described as its "best and final offer".

Apple ordered GitHub to remove iOS source code leak
Apple has confirmed that the recent iBoot source code leak is real but downplayed its significance in a statement to MacRumors . You can imagine the damage hackers can do to iPhone users if they find some nice little holes in iBoot thanks to the leak.

A date for a meeting between Qualcomm and Broadcom had not been finalized as of Friday morning. Regulators may decide that it would be nearly a monopoly on the smartphone chip market. The company has said that it will win all the cases against it in court and overturn more than $4 bullion that it has been fined with.

The NXP deal still faces an uncertain future as some of its shareholders, including activist hedge fund Elliott Management Corp, have asked Qualcomm to raise its offer.

Airline User Flushes Rejected 'Emotional Support Hamster' Down Toilet
It was then, Aldecosea insists, that an employee suggested letting Pebbles go free outside or flushing her down the toilet. While guide dogs have been occasional flyers for years, there have recently been a surge of emotional-support animals.

Qualcomm, with its market cap standing at $92 billion, is an indication that the company has no intentions of selling itself anytime in the near future. The greatest concern centres around Qualcomm's lucrative technology-licensing business. The $47 billion deal awaits final regulatory approval. Most of the company's profit comes from collecting fees for the use of patents that cover the fundamentals of all modern phone systems. That cash influx fuels industry-leading research and design that in turn helps its chip unit build products that dominate the smartphone industry.

Recommended News

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.