Deals
Qualcomm Rejects Broadcom’s Higher $121 Billion Hostile Bid
- Valuation, regulatory risk are cited in board’s decision
- Chipmaker offers to meet with suitor on bid’s ‘deficienies’
Qualcomm Rejects Broadcom's $121 Billion Offer
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Broadcom Ltd. said its $121 billion acquisition proposal for Qualcomm Inc. is the “best and final” offer after the target’s board unanimously rejected the sweetened bid, likely leaving the future of the hostile takeover bid to be decided by shareholders next month.
Broadcom Chief Executive Officer Hock Tan urged Qualcomm to meet this weekend to discuss the $82 a share offer and dangled the prospect of an $8 billion reverse termination fee in a letter to Paul Jacobs, chairman of the board. Tan said he was “astonished” the target wasn’t willing to meet until Tuesday, after the companies are scheduled to meet with proxy advisers Glass Lewis and ISS.