Broadcom May Acquire Qualcomm For $100 Billion: Report

Broadcom, leading WiFi chipset maker, is in the process to buy out shares of Qualcomm for a sum of more than $100 billion. The deal once inked will be the biggest ever takeover of a chipmaker, according to reports from Bloomberg and Reuters.

As per the report, Broadcom is looking at every possibility of this closed-door affair. The firm is planning to offer $70 to $80 per share to Qualcomm, which brings its total value of at around $103 billion.

Also Read: Qualcomm Snapdragon 636 With Kyro Cores Features and Availability

Both parties declined to comment on the matter, but they witnessed a healthy outing at the share market. Ever since the news broke out, Qualcomm rose as much as 19 percent in New York and closed up at 13% higher or $61.81 increase per share valuing the company at $91 billion. While Broadcom share rose up 5%, taking its valuation to $112 billion.

Meanwhile, both Qualcomm and Broadcom are looking to acquire NXP Semiconductors NV, which is the largest makers of chips for vehicles. Qualcomm has its deal ready for $38-billion, but Broadcom may spoil the party with a higher bid than that. Antitrust officials, who are looking into the Qualcomm-Broadcom deal, are still considering the former’s acquisition of NXP.

Qualcomm and Broadcom manufacture products in wireless communications that are largely adjacent to each other. Qualcomm’s chipset covers mobile data networks while Broadcom covers Wi-Fi and Bluetooth.