On July 26th this year, Qualcomm announced that it would give up the acquisition of NXP, and the two-part acquisition was finally lost. However, with a meeting of the G20 summit in Argentina, the biggest acquisition in the history of global chips may have a new turnaround.from
Qualcomm first proposed in October 2016 to acquire NXP, based in the Netherlands, for $ 38 billion. However, it has come under pressure from some NXP shareholders who insisted on a better price.
In February this year, Qualcomm increased the $ 44 billion offer. The acquisition of Qualcomm-NXP was globally accepted, leaving only China to approve the transaction. According to information previously provided by the General Market Administration, the review of this transaction did not end by October 14, but Qualcomm gave up the acquisition plan before the deadline. The general management of the market surveillance mentioned in the statement that it respects the choice of both parties in the transaction and also complains.
The acquisition, which is advertised as the world's largest semiconductor acquisition, can help Qualcomm expand into new market segments, such as automotive chips. Qualcomm provides chips for Android smartphones and Apple.
Although there are positive signs of approving the transaction, the transaction may be difficult to negotiate, as the two companies have redeemed the shares after the transaction failed. In the 12 months to September, Qualcomm spends $ 22.6 billion on repo. Reserves, including cash reserves used to acquire NXP. In addition, Qualcomm also paid NXP expense of $ 2 billion.
At present, Qualcomm and NXP have not reacted more to the purchase.