Trump Blocks Broadcom's Bid for Qualcomm

From PC Mag: The Trump administration on Monday blocked Broadcom's bid to acquire Qualcomm, citing national security threats.

"There is credible evidence that leads me to believe that Broadcom...through exercising control of Qualcomm...might take action that threatens to impair the national security of the United States," President Trump wrote in an presidential order.

"The proposed takeover of Qualcomm by [Broadcom] is prohibited, and any substantially equivalent merger, acquisition, or takeover, whether effected directly or indirectly, is also prohibited," Trump wrote.

"Broadcom is reviewing the Order. Broadcom strongly disagrees that its proposed acquisition of Qualcomm raises any national security concerns," the company said in a statement.

Qualcomm had little to say about the move; its statement mainly just reiterated what was included in Trump's presidential order.

The move comes after the Committee on Foreign Investment in the United States (CFIUS) within the Treasury Department ordered Qualcomm to postpone its annual stockholders meeting and election of directors by 30 days so CFIUS could "investigate fully Broadcom's proposed acquisition of Qualcomm."

View: Article @ Source Site