Qualcomm officially terminates the NXP deal
 

Will repurchase $30 billion in stocks

Due to the China regulatory agency's standstill in regulatory approval, Qualcomm has decided to terminate the NXP $44 billion acquisition deal and pay the $2 billion breakup fee.

Fudzilla reported this yesterday, but this is now official. What can be described as a victim of the US/China trade wars ended up with severe consequence to both Qualcomm and especially Holland based NXP. The US/China trade war managed to heavily affect the EU company and while the Trump administration saved Qualcomm from a Broadcom takeover, it also hurt it with the NXP break up $2 billion bill.

It is not surprising that the innocent get punished for the sins of its politicians, but from where we stand, NXP got the toughest end of the deal here.

NXP incorporated in Qualcomm would have a great growth opportunity in the future while Qualcomm continued to grown in some key markets including automotive on its own, just in case the deal didn't come to pass. If you look at this decision, it looks like a great one today.

The company’s board of directors authorized a stock repurchase program of $30 billion, which replaces the company’s existing $10 billion stock repurchase authorization. This should happen before the end of fiscal 2019 and serve to calm shareholders down.

https://fudzilla.com/news/mobile/468...s-the-nxp-deal