The move, its first step towards Broadcom’s acquisition of Qualcomm, was on expected lines. Its March 6 AGM promises to be eventful.
On Monday, in a significant development, Broadcom Ltd took its first step towards its hostile takeover of Qualcomm Inc and has unveiled a list of eleven nominees, which includes 2 women and 9 men, to Qualcomm Inc’s board.
The nominees include a former president of the mobile networks business group of Nokia and the former director and chairman of the board of Dialog Semiconductor Plc.
Last month, Qualcomm rejected Broadcom’s $103 billion cash and stock bid, its shareholders will now be able to vote on Broadcom’s board director at an annual meeting slated for March 6.
“We have heard from many Qualcomm stockholders who have expressed their desire for Qualcomm to engage with us,” said Hock Tan, Broadcom’s CEO in a statement.
“We have repeatedly attempted to engage with Qualcomm, and despite stockholder and customer support for the transaction, Qualcomm has ignored those opportunities. The nominations give … stockholders an opportunity to voice their disappointment.”
Broadcom stuck to its offer offer and has not upgraded it bid for Qualcomm.
With the news reaching the market, Broadcom’s shares were up by 1% in premarket trading, while Qualcomm’s stock was marginally up at $65.68.