2017.11.1223:41:00UTC+00Qualcomm Reportedly Drafting Plan to Reject Broadcom’s Takeover Bid

Qualcomm Inc. is getting ready to rebuff a $103 billion takeover offer from its rival Broadcom Ltd. as early as this week, according to sources, setting the stage for what would be one of the biggest-ever takeover battles.

The U.S. chipmaker's board of directors could convene as early as Sunday to review the unsolicited acquisition bid and decide on how to proceed, people familiar with the matter said. The plans for the board meeting indicate that Qualcomm is preparing to decline the bid citing its insufficiency as early as Monday. But sources added it may require more days this week in order to issue its full response to Broadcom.

In the last few days, Qualcomm CEO Steven Mollenkopf has been gathering comments and feedback from shareholders of the company and perceives Broadcom's $70-per-share offer undermines the value of the firm and does not weigh in the uncertainty associated with getting the deal rubber stamped by regulators, sources stated.

Broadcom CEO Hock has expressed his willingness to start a ruthless takeover battle. According to sources, Broadcom was prepared to submit a slate of directors by Qualcomm's December 8 nomination deadline, which will enable the shareholders of the firm to vote to replace the chipmaker's board and force it to take into consideration Broadcom's offer.

Broadcom is also considering to raise its takeover bid, sources added.