Amid Takeover Battle, San Diego’s Qualcomm Increases Dividend by 9%

A man walks past a Qualcomm sign at a trade show in Barcelona. REUTERS / Albert Gea

Amid a takeover battle with Singapore-based Broadcom that is drawing national attention, Qualcomm announced Thursday its board of directors approved a 9 percent increase in the San Diego company’s quarterly dividend.

The dividend will increase to 62 cents per share from 57 cents. The new dividend is payable after March 21

“We are pleased to announce an increase in our quarterly dividend, a reflection of our commitment to returning capital to stockholders,” said Steve Mollenkopf, CEO of the wireless pioneer.

“We look forward to closing the pending acquisition of NXP and expect the strong combined cash profile of Qualcomm and NXP to further strengthen our foundation for future capital returns for our stockholders,” he added.

Qualcomm’s stock closed at $61.82 on Thursday, down 67 cents, but rose in after-hours trading following the dividend announcement.