Broadcom nominates 11 new directors for Qualcomm board

Broadcom, the US chip company, has nominated 11 new directors to take their place on Qualcomm’s board, as it seeks to step up pressure on the company to enter takeover talks.

It follows Broadcom’s failed $105bn takeover bid for rival Qualcomm last month, which the latter’s board rejected amid concerns on regulatory uncertainty as well as claiming the offer was too low.

Dialogue

“Although we are taking this step, it remains our strong preference to engage in a constructive dialogue with Qualcomm,” said Broadcom chief executive Hock Tan in a statement.

“We believe Qualcomm stockholders would be better served by new independent, highly qualified nominees who are committed to maximising value and acting in the best interests of Qualcomm stockholders.”

Broadcom also said it backed the reappointment of three existing Qualcomm board members; Mark McLaughlin, Anthony Vinciquerra and Jeffrey Henderson.