Federal Regulators Ask Qualcomm To Postpone Broadcom Bid Vote

Once Broadcom re-domiciles in the US currently planned for no later than 6 May the takeover would not be a CFIUS covered transaction

A U.S. national security panel on Sunday ordered Qualcomm to put off its March 6 annual shareholder meeting, delaying a long-awaited showdown in the company's attempt to see off a takeover bid by Broadcom.

Qualcomm's shareholder vote will now be delayed at least a month as the Committee on Foreign Investment in the US investigates Broadcom's proposed deal. The national security body ordered Qualcomm to delay its shareholder meeting by a month so it could review the deal.

The hostile offer "provides greater value and certainty to Qualcomm stockholders, with less risk, than any other available alternative", Broadcom told shareholders.

Broadcom, which is attempting to get six independent directors elected.

In a statement March 5, Broadcom officials accused their Qualcomm counterparts of using CFIUS to slow down Broadcom's acquisition efforts by "secretly [filing] a voluntary request with CFIUS to initiate an investigation, resulting in a delay of Qualcomm's Annual Meeting 48 hours before it was to take place".

CFIUS previous year opposed the takeover of USA semiconductor manufacturer Lattice by a Chinese state group backed by a U.S. investment fund, and President Donald Trump then blocked the deal.

Based on a count of more than half of the votes already cast, Broadcom would win a majority of Qualcomm's board seats, according to information obtained by Bloomberg.

Broadcom is largely owned by the same United States institutional investors that own Qualcomm.

Qualcomm is known for mobile chip innovations that set industry standards, for example in new superfast 5G wireless connection technology, the analyst noted.

Broadcom's proposed purchase of Qualcomm is valued at about $117 billion.

"Broadcom has been interacting with CFIUS for weeks and made two written submissions to CFIUS", the Qualcomm statement said.

Once Broadcom re-domiciles " now planned for no later than May 6 " the takeover would not be a CFIUS covered transaction, Broadcom said in the statement.

Broadcom's proposed takeover of Qualcomm would be the largest deal ever in semiconductors, creating a chip juggernaut with a leading market position in many top chips used in smartphones. The offer has since been raised, but then dropped again after Qualcomm bought NXP. Qualcomm said it would challenge that fine.

The Singapore-based chip maker insists that upon completion of its redomiciliation to United States shores by May 6, the deal will no longer be covered by CFIUS. Upon completion of the redomiciliation, Broadcom's proposed acquisition of Qualcomm will not be a CFIUS covered transaction.

Related news:

Hot News

isis-killer-beheading-video-story-top London homes told to limit water use as supply problems continue
Mar 06, 2018 - 01:48
Many thousands of people say they have been without water for 24 hours, as providers issue a warning about supply. Companies handed out bottled water to affected customers over the weekend.

isis-killer-beheading-video-story-top Jets Believe Kirk Cousins Will Sign With Vikings
Mar 05, 2018 - 00:27
All those numbers are pretty impressive, but if you noticed, not all that different from Kirk Cousins' totals over the same span. Per Vincent Frank of the Yard Barker, Cousins is looking for a three-year deal with guaranteed money of $90 million.

isis-killer-beheading-video-story-top Shubhankar Sharma shines again to keep control in Mexico
Mar 05, 2018 - 00:25
He rolled in a 16-foot birdie putt at 14 to reclaim sole possession of the lead, and he was two clear even after his bogey at 16. A victory at the WGC Championship would make Sharma the first debutant to win on the PGA Tour in about three decades.

isis-killer-beheading-video-story-top Slow-moving nor'easter kills 5, knocks out power in several states
Mar 05, 2018 - 00:24
The NWS issued a high wind warning for Friday night, predicting that strong winds would cause widespread damage and power outages. The heavy winds are expected to batter the coasts and inland mountain regions, knocking down trees and power lines.

isis-killer-beheading-video-story-top John Kelly renews defense in wake of Rob Porter abuse scandal
Mar 05, 2018 - 00:21
But he said he was not made aware of any specific allegations against Porter. "His religion, his focus on work, etc". Then On Feb 8, Principal Deputy Press Secretary Raj Shah told reporters this: "His last day was yesterday".

isis-killer-beheading-video-story-top David Ogden Stiers, Actor, 1942
Mar 05, 2018 - 00:20
While the Larry Melville "Frank Burns" character he replaced was funnier, Stiers' "Winchester" was far more interesting. David got his start in acting in 1971 with a role in George Lucas' sci-fi thriller film THX 1138 .

isis-killer-beheading-video-story-top Here's The Poop On Secret Penguin Society, Population 1.5 Million
Mar 04, 2018 - 02:05
Even in the southern summer the surrounding ocean is filled with near inaccessible thick sea ice. This was an incredible experience, finding and counting so many penguins.

isis-killer-beheading-video-story-top Edinburgh Airport open but numerous flights cancelled
Mar 04, 2018 - 02:04
Shannon handled 20 flight diversions alone from Dublin and Cork Airports starting from 04.20 on Wednesday morning until midnight. Flight operations will NOT resume until Saturday morning, meaning there will be no flights to or from Dublin Airport tomorrow.

isis-killer-beheading-video-story-top Physio To Start After Neymar's Successful Foot Operation
Mar 04, 2018 - 02:04
Globoesporte.com reported that PSG also insisted it control any future information on the player's health. Neymar was signed by PSG for a world record £198million from Barcelona a year ago .

isis-killer-beheading-video-story-top Cyborg heavy betting favourite on UFC 222 odds for Saturday
Mar 04, 2018 - 02:02
If Justino wants to put the undersized Kunitskaya on the fence, she will do so. "I'm on vacation!'" she recalled with a laugh. Not that long ago, the talk throughout MMA was whether " Cyborg " would take on bantamweight champ, Amanda Nunes next.

isis-killer-beheading-video-story-top Rafael Benitez: Newcastle United "are still making mistakes"
Mar 04, 2018 - 02:02
Liverpool climbed back into to second place after a hard-fought, 2-0 win over their former manager, Rafael Benitez and Newcastle . Burnley ended an 11-match winless run in the Premier League as Chris Wood's 80th minute header sealed a 2-1 victory over Everton.

isis-killer-beheading-video-story-top Italian Suspects in Slovak Journalist's Murder Released
Mar 04, 2018 - 02:01
He has also regularly attacked journalists in the past, calling them "dirty, anti-Slovak whores" and "slimy snakes". Kuciak and Martina Kusnirova, both 27, were found shot dead in their house north-east of Bratislava last weekend.

isis-killer-beheading-video-story-top Scientists have come up with a new classification of diabetes
Mar 04, 2018 - 02:01
Type 1 is an autoimmune condition where the hormone insulin is not produced, and which generally develops in childhood. They say further studies are needed in non-Scandinavian populations to test their findings further.

isis-killer-beheading-video-story-top Woods to play at Valspar Championship, Arnold Palmer Invitational
Mar 04, 2018 - 01:59
The Valspar Championship at Innisbrook Resort's Copperhead Course will represent Woods' fourth PGA Tour start of the season. And former PGA Tour victor Brandel Chamblee believes it is only a matter of time before Woods contends for a trophy.

isis-killer-beheading-video-story-top Uber wants to get you to your doctor appointment
Mar 04, 2018 - 01:56
Uber says it has worked with Clearwater Compliance to assess its Uber Health platform to help ensure it meets HIPAA standards. Patients aren't on the hook for the cost of the ride, as Uber bills the health care provider at the end of each month.