BENGALARU: Broadcom Corp. on Wednesday fired its latest salvo against Qualcomm Inc. by lowering its takeover offer to $117 billion from $121 billion, a day after the US chipmaker increased its own offer for NXP Semiconductors NV.
Broadcom’s previous $82 per share offer for Qualcomm was contingent on it buying NXP at its earlier offered price of $110 per share.
Broadcom said it had cut its offer to $79 per share due to Qualcomm’s increase of its price for NXP to $127.50 per share, but would revert to $82 per share if Qualcomm was unable to complete the NXP acquisition.
Under the new terms, Broadcom will offer Qualcomm shareholders $57 per share in cash and $22 per share in Broadcom shares.
Qualcomm could not be immediately reached for comment.
Broadcom said other conditions of the proposed merger agreement remained unchanged, including an $8 billion regulatory reverse termination fee.
The moves by both companies come in advance of a shareholders meeting on March 6 that is due to vote on Broadcom nominees to the Qualcomm board.
Qualcomm on Tuesday raised its offer for NXP by $17.50 per share from $110 and received support from nine NXP stockholders who hold more than 28 percent of the Dutch company’s outstanding shares and had previously resisted the takeover.
Qualcomm shares were down 0.5 percent at $63.65 in premarket trading and those of Broadcom were up 1 percent at $252.
Broadcom cuts Qualcomm bid to $117 billion
Broadcom cuts Qualcomm bid to $117 billion
Work suspended on Riyadh’s massive Mukaab megaproject: Reuters
RIYADH: Saudi Arabia has suspended planned construction of a colossal cube-shaped skyscraper at the center of a downtown development in Riyadh while it reassesses the project's financing and feasibility, four people familiar with the matter said.
The Mukaab was planned as a 400-meter by 400-meter metal cube containing a dome with an AI-powered display, the largest on the planet, that visitors could observe from a more than 300-meter-tall ziggurat — or terraced structure —inside it.
Its future is now unclear, with work beyond soil excavation and pilings suspended, three of the people said. Development of the surrounding real estate is set to continue, five people familiar with the plans said.
The sources include people familiar with the project's development and people privy to internal deliberations at the PIF.
Officials from PIF, the Saudi government and the New Murabba project did not respond to Reuters requests for comment.
Real estate consultancy Knight Frank estimated the New Murabba district would cost about $50 billion — roughly equivalent to Jordan’s GDP — with projects commissioned so far valued at around $100 million.
Initial plans for the New Murabba district called for completion by 2030. It is now slated to be completed by 2040.
The development was intended to house 104,000 residential units and add SR180 billion to the Kingdom’s GDP, creating 334,000 direct and indirect jobs by 2030, the government had estimated previously.
(With Reuters)
