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 wasn’t impressed with Broadcom’s revised offer.
“Broadcom’s reduced proposal has made an inadequate offer even worse despite the clear increase in value to Qualcomm stockholders from providing certainty around the NXP acquisition,” said the company in a statement. “Broadcom has refused and continues to refuse to engage with Qualcomm on price.”
Broadcom says it is still committed to buying Qualcomm, but Qualcomm feels Broadcom’s current plan doesn’t properly value Qualcomm and, most importantly, has little chance of success.
