Published: Mon, December 04, 2017
Hi-Tech | By Grace Becker

Qualcomm confirms receiving Broadcom's board nominees

Qualcomm confirms receiving Broadcom's board nominees

Broadcom is set to take its first formal step towards a "hostile bid" to takeover Qualcomm, according to Reuters.

Broadcom escalated it's $130 billion fight to take over Qualcomm on Monday, asking shareholders to replace the San Diego company's board of directors.

Broadcom chief executive Hock Tan said he hoped to negotiate an agreement with Qualcomm on what he claimed was a beneficial deal for both companies.

"The nominations give Qualcomm stockholders an opportunity to voice their disappointment with Qualcomm's directors and their refusal to engage in discussions with us".

"Qualcomm's stockholders expect a board that will support this innovation while evaluating objectively the full range of opportunities available to maximize value for all Qualcomm stockholders", said Horton in a statement.

Final Release Date Announced, To Clash With Baaghi 2 And Manikarnika
Khiladi Kumar said, "There is a lot of false information that is being circulated over both films releasing on the same day". The cast of "2.0" recently launched the audio of the film in a grand event in Dubai which is composed by maestro AR Rahman.

In a press release, Broadcom noted that it would support a decision by the proposed 11 new directors to increase the size of Qualcomm's board and reappoint three current directors "to ensure continuity". "Qualcomm is exceptionally well positioned-with technology and leadership positions across mobile, IoT, automotive, edge computing and networking-and leading the transition to 5G".

"These nominees are inherently conflicted given Broadcom's desire to acquire Qualcomm in a manner that dramatically undervalues Qualcomm to Broadcom's benefit", the chipmaker said in a statement. Qualcomm, meanwhile, is expected to rigorously oppose the proposed board upheaval.

Broadcom shares are down 1.7%. Qualcomm stock was down 2.2%, near 64.05.

Qualcomm on November 13 rejected Broadcom's cash-and-stock offer, which at the time of the November 6 bid was worth $130 billion, including $25 billion of net debt.

Broadcom remains confident that it can clear any regulatory requirements needed to complete the deal, including satisfying antitrust authorities, Tan said. However, Qualcomm argues that Broadcom is being opportunistic and seeks to exploit the recent drop in its stock price to pull off an acquisition on the cheap at shareholders' expense. "Qualcomm stockholders are poised to participate in substantial growth and value creation as the company continue to execute its strategy across its businesses".

Like this: