Monday, November 13th 2017
Qualcomm Says No Thank You to Broadcom's $105 Billion Buyout Bid
Qualcomm today announced that its Board of Directors unanimously rejected the unsolicited proposal announced by Broadcom Limited ("Broadcom") on November 6, 2017. "It is the Board's unanimous belief that Broadcom's proposal significantly undervalues Qualcomm relative to the Company's leadership position in mobile technology and our future growth prospects," said Paul Jacobs, Executive Chairman and Chairman of the Board of Qualcomm Incorporated.
"No company is better positioned in mobile, IoT, automotive, edge computing and networking within the semiconductor industry. We are confident in our ability to create significant additional value for our stockholders as we continue our growth in these attractive segments and lead the transition to 5G," said Steve Mollenkopf, Chief Executive Officer of Qualcomm Incorporated.
"The Board and Management are singularly focused on driving value for Qualcomm's shareholders. After a comprehensive review, conducted in consultation with our financial and legal advisors, the Board has concluded that Broadcom's proposal dramatically undervalues Qualcomm and comes with significant regulatory uncertainty. We are highly confident that the strategy Steve and his team are executing on provides far superior value to Qualcomm shareholders than the proposed offer," said Tom Horton, Presiding Director for Qualcomm Incorporated.
"No company is better positioned in mobile, IoT, automotive, edge computing and networking within the semiconductor industry. We are confident in our ability to create significant additional value for our stockholders as we continue our growth in these attractive segments and lead the transition to 5G," said Steve Mollenkopf, Chief Executive Officer of Qualcomm Incorporated.
12 Comments on Qualcomm Says No Thank You to Broadcom's $105 Billion Buyout Bid
www.nextpowerup.com/news/39732/qualcomm-rejects-broadcoms-usd-130-million-offer/
The offer was unsolicited meaning they want to buy it for a reason, obviously making $$ is the endgame but there's more to it going on behind the scenes. This will probrably resurface in the future as a leveraged buyout/hostile takeover or something if and when it does.
If Qualcomm does well enough they may be able to fend off such actions if tried but if not, expect things to happen.
I'm thinking this because of the fact you're talking about a company that came foward and out of the blue proposed a buyout.
I've seen weird stuff happen before that's related - If it gets the attention of the "Right" people with the resources that would have an interest then it could become a vehicle for such. It may be doubtful but not impossible, the company I was working for by name had a chance to purchase another company and it didn't go through because the final price coudn't be agreed on. Two years later the company I was working for was bought out and placed under the very company they were trying to buyout. It happened because the company they tried to buyout earlier had the right people (Berkshire-Hathaway = Warren Buffet) with resources to make it reality, BH itself being the owner of it when the buyout was proposed back then.
All I'm saying is if it happens don't be so suprised, the very nature of business in itself is just nasty..... Something we all know to be true when you get down to it.
Yeah I'm glad, keep monopolization from happening like how ATT & Comcast do to Cities!