Qualcomm Inc. said Broadcom Ltd.'s decision to lower the proposed acquisition sum to an equivalent of $79 per share in cash and equity "made an inadequate offer even worse." The response published soon after the revision on Wednesday added the move was against "the clear increase in value" regarding the rise in the bid by the semiconductor giant based in San Diego for NXP Semiconductors NV by 16% to $127.5 per share of $44 billion in total.
The improvement in the offer for the Dutch company got more of its investors on board, raising the prospects for the transaction, which prompted Broadcom to revise its proposal to $117 billion or 4% less.
"Broadcom has refused and continues to refuse to engage with Qualcomm on price. The acquisition of NXP Semiconductors will be 40% accretive to our non-GAAP results, enables us to accelerate our growth strategy, and provides stockholders greater certainty," Qualcomm said and insisted the bid from the company incorporated in Singapore means "a long and highly uncertain path to regulatory approvals."