Qualcomm, Broadcom hold talks over revised $ 121 billion bID

Qualcomm, Broadcom hold talks over revised $ 121 billion

(Reuters) – Qualcomm Inc. said on Wednesday it will start with Broadcom Ltd earlier in the day to discuss the $ 121 billion bid, the first time the chipmakers have discussed what would be the largest ever technology acquisition technology. The outcome of the meeting will be determined by Qualcomm, which has resisted Broadcom’s takeover approach since November, when it will be able to defend itself by its shareholders. nominees. Neither side commented on what transpired in the two-hour meeting. Qualcomm said in its statement its board would meet its next steps. Broadcom’s top executives have the right to meet their expectations. PHOTO: A sign on the Qualcomm Campus is seen in San Diego, California, U.S. November 6, 2017. REUTERS / Mike Blake / File Photo The meeting came after Qualcomm rejected Broadcom’s revised cash-and-stock bid of $ 82 per share. Qualcomm had said that it would be necessary to make it more broadly possible and that it would not be possible to understand the issues that remained unaddressed in its proposal. Qualcomm said last week that Broadcom’s plan to address antitrust concerns by selling two businesses, its Wi-Fi networking processors and RF front end chips for mobile phones, which was not enough to deal with the deal. Apple Inc and Samsung Electronics Co Ltd use their market share to negotiate the price of wireless technology equipment. Broadcom is a manufacturer whose connectivity chips are used in the field of mobile phones to servers. San Diego-based Qualcomm primarily outsources the manufacturing of its chips which are used for the delivery of broadband and data, a business that would significantly benefit from the rollout of 5G wireless technology. Qualcomm has argued that it has a deal with Broadcom. Broadcom has promised to pay a breakup fee of $ 8 billion in the event regulators thwart the deal, as well as a “ticking” fee of 6 percent per year on the cash portion of the 12 months to close deal. Reporting by Greg Roumeliotis in New York; Additional reporting by Muvija M in Bengaluru; Editing by Sriraj Kalluvila and Cynthia Osterman Our Standards: The Thomson Reuters Trust Principles.

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