Qualcomm’s board has rejected Broadcom’s acquisition deal, valued at $121 billion – or $82 per share.
“The Broadcom proposal materially undervalues Qualcomm and falls well short of the firm regulatory commitment the board would demand given the significant downside risk of a failed transaction,” said Qualcomm.
“Qualcomm has offered to meet with Broadcom to see if it can address the serious deficiencies in value and certainty in its proposal.”
In the meeting, Qualcomm said it expects Broadcom to provide detailed answers on two questions:
- What is the true highest price at which you would be prepared to acquire Qualcomm?
- Is Broadcom willing to commit to take whatever actions are necessary to ensure the proposed transaction closes?
Qualcomm said it needs Broadcom to be clear about what actions it would refuse to take, so it can evaluate the risk.