Broadcom offers to buy Qualcomm in $130 billion deal

NEW YORK (AP) - Broadcom is making an unsolicited, $130 billion offer for rival chipmaker Qualcomm, the largest deal ever in the tech industry that will face intense regulatory scrutiny.

President Donald Trump appeared with Broadcom Corp. CEO Hock Tan last week, saying the company is likely to relocate its headquarters from Singapore to the United States.

There has already been broad consolidation in the computer chip sector and a tie-up between the two giant companies would create a massive producer.

The Broadcom offer of $70 per share to Qualcomm stockholders would be $60 per share in cash and $10 per share of Broadcom. Broadcom says its proposal is a 28 percent premium over the closing price of Qualcomm common stock on November 2, the last "unaffected" trading day for the companies.