Broadcom said Tuesday it will seek election of only six — rather than 11 — board members in its proxy battle for control of San Diego-based Qualcomm.
If the six are elected at Qualcomm’s annual shareholders meeting on March 6, Broadcom’s slate would constitute a simple majority on the 11-person board.
The Singapore- and San Jose-based company is offering $82 per share in an unsolicited attempt to purchase the San Diego wireless pioneer in a $120 billion deal that would be largest ever in the semiconductor industry.
“Qualcomm stockholders have consistently communicated to us their support for our $82 per share cash and stock offer,” said Hock Tan, president and chief executive officer of Broadcom.
“In addition, they have welcomed our willingness to provide for appropriate continuity on the Qualcomm board, and have also expressed a desire for a definitive mechanism of achieving such continuity,” he added. “Reducing the number of nominees we are seeking to a simple majority provides precisely that mechanism.”
Qualcomm’s board has twice rejected Broadcom’s offier, which was sweetened by $12 per share earlier this month. The company’s stock closed at $65.70 on Tuesday, well below the offer price.