Although the timing of the new takeover offer is not yet clear, Broadcom bidding shows that in addition to threatening to replace Qualcomm's board of directors, they plan to pressure Qualcomm shareholders to raise their quotes.
Hock Tan, Broadcom CEO, said he was open to the takeover bid, while insiders said earlier that the company is going to submit a list of directors before Qualcomm's December 8 nomination deadline. Qualcomm and Broadcom shareholders can vote in support of this list on March 6 next year's shareholders meeting.
Broadcom's offer to Qualcomm earlier was $ 103 billion, including $ 60 a share in cash and $ 10 in own stock, a source familiar with the matter said increasing its quoted price by adding shares would prevent Broadcom from raising its debt or further credit rating pressure.
Informed sources said QUALCOMM shareholders once told Broadcom that they want at least $ 80 per share offer, but informed sources, Broadcom board has not yet decided the specific level of the new offer.
People familiar with the matter said that Broadcom has repeatedly called for Qualcomm to meet since it announced its takeover bid on November 6. But Qualcomm still rejects it today, and Broadcom did not come into contact with Qualcomm several weeks before it announced its offer.
Qualcomm and Broadcom both declined to comment.
Qualcomm shares rose more than 2% to $ 68.05 in the afternoon on Wednesday after Broadcom raised its offer price, while Broadcom shares fell 0.3% to $ 275.82.
Qualcomm invented a number of ground-breaking technologies in today's mobile communications and sold chips to cell phones and other devices.The company fell into a patent dispute with Apple and is hoping to complete a $ 38 billion acquisition of NXP Semiconductors signed in October 2016 Offers Broadcom said Qualcomm, whether completed the acquisition of NXP, they all want to buy Qualcomm.