Quantcast

Broadcom Gives Up Qualcomm Bid, Continues Redomiciliation, Shares Rise


Broadcom  (AVGO), after being ordered late Monday night by U.S. President Donald Trump to end its hostile bid for Qualcomm (QCOM), this morning said it has withdrawn that bid.

The company thanked Qualcomm shareholders and also the candidates that Broadcom had nominated to Qualcomm's board. It also thanked U.S Treasury Secretary Steven Mnuchin for his remark that the  national security concerns that scuttled the deal were "not intended to make any other statement about Broadcom or its employees, including its thousands of hard working and highly skilled U.S. employees."

Broadcom gave no indication of its next steps, after analysts yesterday speculated about how the company might make further acquisitions or might simply return more money to shareholders, other than to say it will hold a special meeting of its shareholders on March 23rd, as previously planned, and it will "continue to move forward with its redomiciliation process."

Broadcom is in the process of becoming a U.S.-based company from its present domicile in Singapore.

Broadcom stock this morning is up $2.17, or 0.8%, at $263.39, in pre-market trading. Qualcomm shares are up 14 cents at $59.84.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.



This article appears in: Technology , Stocks
Referenced Symbols: AVGO , QCOM



More from Barron's

Subscribe






Barron's
Contributor:

Barron's











Research Brokers before you trade

Want to trade FX?