web analytics

Broadcom proposes to acquire Qualcomm for $130 Billion




Broadcom Limited, a semiconductor device supplier, has offered to acquire semiconductor giant, Qualcomm Incorporated, for $70.00 per share in cash and stock in a transaction valued at $130 Billion.

Under Broadcom’s proposal, the $70.00 per share to be received by Qualcomm stockholders would consist of $60.00 in cash and $10.00 per share in Broadcom shares. The proposed transaction is valued at approximately $130 billion.

Broadcom highlighted the strategic and financial benefits of the acquisition such as the creation of a leading diversified communications semiconductor company, acceleration of innovation to deliver more advanced semiconductor solutions to global customers, and compelling financial benefits, as the combined Broadcom and Qualcomm, including NXP, will have pro forma fiscal 2017 revenues of approximately $51 billion and pro forma 2017 EBITDA of approximately $23 billion, including synergies.

Qualcomm, on the other hand, has confirmed that it has received the “non-binding, unsolicited proposal” from Broadcom. The company is now assessing the proposal and will have no further comment until its Board of Directors has completed its review.

source: Broadcom, Qualcomm




This article was written by Louie Diangson, Managing Editor of YugaTech. You can follow him at @John_Louie.

You may also like...

Leave a Reply

Your email address will not be published. Required fields are marked *

Open

Close