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Broadcom moves back to US

by on12 March 2018

Will be "American" two days before Qualcomm takeover bid

Singapore-based Broadcom will have redomiciled to the United States by April 3, two days before the chipmaker’s acquisition target Qualcomm's annual shareholder meeting where it is planning to mount a hostile take-over.

Broadcom’s $117 billion offer to buy California-based Qualcomm is being reviewed by the Committee on Foreign Investment in the United States (CFIUS) for potential national security threats.

Broadcom said such security concerns were not a risk to the closure of the proposed buyout as it never planned to finish the deal before completing moving its official base to the United States.

Broadcom is incorporated in Singapore and co-headquartered there and in Irvine, California.

Broadcom said last week that CFIUS had ordered the company to provide it with five business days’ notice before taking any action toward moving base to the United States.

The requirement showed that CFIUS, an inter-agency panel led by the US Treasury was aware that its jurisdiction could be contested if Broadcom redomiciles to the United States.

CFIUS had delayed Qualcomm’s annual meeting by a month to April 5. In that meeting, shareholders will also vote for Broadcom’s slate of six nominees for Qualcomm’s 11-member board.



Last modified on 12 March 2018
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