Broadcom Has Produced What Could Be the Best and Final Offer to Acquire Qualcomm: $146 Billion


Broadcom is back with what looks like a final offer to acquire U.S.-based chipset manufacturer Qualcomm. After the $120 billion offer, which also includes a higher breakup fee, Broadcom is prepared to offer the SoC maker $146 billion, which is an unprecedented moment and will definitely go down in history as the largest tech acquisition in history, if it comes to pass.

The Increased Amount of Money Also Includes the $25 Billion Debt From Qualcomm – Broadcom Really Adamant About This Deal

Updated information on this developing story reveals that Broadcom’s $146 billion offer includes Qualcomm’s $25 billion debt. Earlier, the wireless chip manufacturer was prepared to offer the company between $80-$82 per share, which is practically a 56 percent premium on Qualcomm’s share price if you take out the average for a 30-day period, according to ZDNet.

RelatedQualcomm Contractors Claim Upcoming Snapdragon 855 Will Be Made on the 7nm Process

Previously, Qualcomm had rejected a $100 billion offer, claiming that it undervalued the company. Well, Broadcom was not about to give up just yet, because it has introduced a ‘big gun’ of an offer, which is something that Qualcomm might not be able to refuse.

Now, under the final deal of the acquisition, Qualcomm shareholders will end up receiving $60 in cash and the remaining $22 in Broadcom stock. This will take the amount total to $146 billion, with the assumption of $25 billion in net debt. Qualcomm’s current share price stands at $66.40 at the time of writing, so this is definitely one deal that industry watches will be eyeing closely.

Qualcomm has been requested not to delay or adjourn its annual meeting beyond 6 March 2018. People close to the matter have stated that Broadcom is very confident that the deal will be able to close within 12 months the day both companies are able to reach an agreement.

The chipmaker’s troubles are still not over because according to the latest report, Apple might be ditching Qualcomm in favor of Intel, and possibly even MediaTek, so the company’s executive board might already be leaning towards in favor of the deal.

Source: ZDNet

Tweet Share


Anonymous Qualcomm Snapdragon 845 Benchmarks Surface On GeekBench; Suggest Company's Gain Estimates Are Slightly Optimistic

Qualcomm to Supply a Massive Number of Its Snapdragon X50 Modem to Phone Manufacturers Starting 2019 - Is Apple Being Left Out?

Qualcomm Snapdragon 850 Rumored to Feature the First Consumer-Based 5G Modem

Broadcom Willing to Offer an Irresistible $120 Billion to Take Over Qualcomm

Qualcomm's Snapdragon 855 Will Be Manufactured Using TSMC's 7nm Node; Chip Giant Will Return To Samsung In 2019