Broadcom Limited has announced that it has obtained $100 billion via committed financing agreements to finance its proposed acquisition of rival company Qualcomm.
As part of its bid to take over Qualcomm, Broadcom has also launched a campaign with Qualcomm shareholders to replace Qualcomm's board. It nominated alternative candidates, many of whom had ties to Broadcom's private equity backer Silver Lake Partners or tech companies that Broadcom had previously acquired.
For several months now, Broadcom has been attempting to acquire Qualcomm.More news: Magic Leap unveils partnership with National Basketball Association for mixed reality app
Broadcom said it would withdraw its offer if it was not accepted by Qualcomm's executives or unless its six nominees were elected at the shareholder meeting.
Broadcom contends regulatory review can be completed in 12 months and has offered an $8 billion break-up fee should regulators block the deal.
Broadcom CEO Hock Tan told Reuters in an interview last week that Broadcom decided not to offer hell-or-high-water provisions to Qualcomm because it does not view them as a very well defined legal standard. "Reducing the number of nominees we are seeking to a simple majority provides precisely that mechanism".
Reports surfaced Monday saying that Broadcom and Qualcomm officials will meet Wednesday to iron out what could be the final details of Broadcom's proposed acquisition.More news: IEA: US could lead non-OPEC oil production in 2018
Qualcomm and Broadcom did not immediately respond to requests for comment.
Earlier, Broadcom was keen to offer two board positions to Qualcomm including Paul Jacobs in the combined company.
Wall Street reaction to the latest in the Broadcom-Qualcomm saga was muted Tuesday, with Broadcom shares rising 0.6 percent to end the day at $245.86, and Qualcomm edging up just 0.1 percent to close at $65.70 a share.More news: Theresa May Calls on Northern Irish Parties to Make 'Final Push'