brcm will drop the deal if nxp deal goes through. They say they will decide by end of this week
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@mih Exactly that reasoning lead to Broadcom lowering the bid now.
Whilst they may not drop the deal, I’d expect a with and without price from Broadcom, since they believe we’re giving away value.
What I’m not sure of is whether the deals we have struck at the higher price are binding.
If they’re not, timing of China approval looks to be very important to the control the QC board have over the situation.
It feels like a poison pill, but the board are certainly sailing close to the wind on their responsibilities in ensuring shareholders are adequately considered.
People actually think that NXP would somehow increase Q‘s value and thus stave off Broadcom. The opposite could be true. An NXP acquisition will cost a lot of money and kill our arbitrary fantasy EPS targets for at least two years. And in this industry, no investor looks beyond a 2-3 year horizon anymore, because we have seen market leaders drop to also-rans in the mobile business in that timeframe before. So the Q stock price might drop or stagnate after an NXP acquisition. That opens the door for Broadcom even wider.
Good riddance ...
Beck are cowards no doubt.
Why would they drop the deal? Complete nonsense.
fake news.