(Bloomberg) -- Qualcomm Inc. Chief Executive Officer Steve Mollenkopf said a $105 billion takeover offer from rival Broadcom Ltd. is too far off in price to even become the basis for discussions.
Broadcom, which had its $70-a-share offer rebuffed last month, has said it will persist with the bid and wants talks. Qualcomm's chief said the current offer doesn't warrant that. Broadcom also has nominated replacement board members at Qualcomm to intensify the pressure for a deal.
“We don't think the offer was in the ballpark of value,” Mollenkopf said Thursday at the Economic Club of Washington. “We're nowhere near it. At least that's my view. Of course the board has to decide.”
Qualcomm's chief, speaking publicly for the first time about what would be the largest deal in the history of technology, said he's confident in his company's future independent direction and ability to resolve legal disputes that threaten its licensing business. San Diego-based Qualcomm is the world's largest maker of chips for mobile phones.
Broadcom and Qualcomm held talks last year on a possible combination that went nowhere, he said.
“We had discussions in the past,” he said. “The semiconductor industry is going through a period of consolidation, so everyone talks to everyone else all the time.”
To contact the reporter on this story: Ian King in San Francisco at ianking@bloomberg.net.
To contact the editors responsible for this story: Jillian Ward at jward56@bloomberg.net, Andrew Pollack, Molly Schuetz
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