Qualcomm rejects rival Broadcom’s proposal

Broadcom Qualcomm dealQualcomm announced that its Board of Directors unanimously rejected the proposal from Broadcom.

“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.

Why Qualcomm should reject $130 bn offer from small rival Broadcom

“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.

The Board took the decision to value the interest of Qualcomm’s shareholders. The Board has found that the proposal dramatically undervalues Qualcomm and comes with significant regulatory uncertainty, said Tom Horton, presiding director for Qualcomm.