Qualcomm’s Veoneer Takeover Move Shows Big Automotive Ambitions
The News: Qualcomm Incorporated (NASDAQ: QCOM) today announced it has submitted an offer to acquire Veoneer for $37 per share, in an all-cash transaction. Our offer has been approved by Qualcomm’s Board of Directors, does not require Qualcomm stockholder approval, and has no financing conditions. Read the full press release in Qualcomm’s newsroom.
Analyst Take: This morning, Qualcomm announced an aggressive move, furthering its ambitions in the Automotive space as the company seeks to attract the support of Veoneer investors despite its recent decision to accept a lower bid via tier 1 Canadian-based tier 1 automotive supplier, Magna.
While Veoneer isn’t a household name, the company has an innovative breadth of offerings in the connected vehicle space, with Qualcomm likely most interested in its ADAS (advanced driver-assistance systems) that would instantly scale Qualcomm’s automotive offering.
Futurum Research provides industry research and analysis. These columns are for educational purposes only and should not be considered in any way investment advice. Neither the Author or Futurum Research holds any positions in any companies mentioned in this article.
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Image Credit: Qualcomm
Daniel Newman is the Chief Analyst of Futurum Research and the CEO of The Futurum Group. Living his life at the intersection of people and technology, Daniel works with the world’s largest technology brands exploring Digital Transformation and how it is influencing the enterprise. Read Full Bio