Qualcomm Inc. announced on Monday that it has rejected the takeover offer from Broadcom, valued at $103 billion.
The company’s board unanimously voted against the takeover, citing that the offer undervalued the company and would face regulatory hurdles.
Qualcomm stated, “We continue to believe our proposal represents the most attractive, value-enhancing alternative available to Qualcomm stockholders and we are encouraged by their reaction.”
According to Betsy Van Hees who spoke to Reuters, “Qualcomm’s ‘thanks, but no thanks’ response to the unsolicited bid by Broadcom isn’t surprising and we would be surprised if at this point, Broadcom didn’t move forward with a proxy fight.”
Another analyst with Susquehanna, Christopher Rolland said to Reuters, it could be $80 ato $85 a share that is the right price for the company and Broadcom could possibly go as high as $90.
If the deal ever happens, it would be the biggest technology takeover ever.
Disclaimer: We have no position in QUALCOMM, Inc.(NASDAQ: QCOM) and have not been compensated for this article.