The US government is now looking into Broadcom's $117 billion bid to acquire Qualcomm, ordering the chipmaker to postpone its annual stockholders meeting, as the Committee on Foreign Investment in the US (CFIUS) examines the implications of the potential deal.
Qualcomm Inc. (Nasdaq: QCOM) announced that it had postponed the March 6 meeting late on Monday, after CFIUS announced the 30-day security review on Sunday. The stockholder meeting is now scheduled for April 5. (See Broadcom Drops Offer for Qualcomm to $117B and Qualcomm Ups NXP Bid, Angers Broadcom.)
In a statement Monday, Broadcom Corp. (Nasdaq: BRCM) accused Qualcomm of failing to "disclose to its own stockholders and to Broadcom that it secretly filed a voluntary unilateral request for CFIUS review on January 29, 2018."
Broadcom is currently headquartered in Singapore. After its successful bid for Brocade, however, the company said it would move its headquarters back to the US. (See Broadcom Heads Home, Clears Way for Brocade Buyout.)
— Dan Jones, Mobile Editor, Light Reading