An offer of $70 a share in cash and stock for the maker of technology for mobile devices could be coming in a matter of days, perhaps as soon as this weekend, the reports said.
Qualcomm’s stock leaped on Wall Street, closing up over 7 points at 61.81. It was the stock’s best one-day rally in nine years.
Like Qualcomm, Broadcom is a major supplier of parts for Apple products. Qualcomm and Apple have been embroiled in a dispute over royalties that has landed the two corporations in court.
Both firms have been in the news the last few days.
Qualcomm reported a plunge in net earnings for the fourth quarter of its fiscal year, to $168 million compared with $1.6 billion in the same period in 2016.
Broadcom, meanwhile, announced it would return its corporate headquarters to the U.S., moving from Singapore to San Jose. Its major operations are in Orange County.
The impact of a takeover on San Diego wasn’t immediately clear, but it could be tremendous. Qualcomm is one of the few major corporations with a global reach to be headquartered in a city known mainly for tourism, and smaller defense and life sciences firms.
The company is one of the region’s largest private employers, and the family of co-founder Irwin Jacobs is one of the area’s most generous philanthropists.
— From Staff and Wire Reports