Qualcomm, SSW to buy Veoneer in $4.5bn deal
By Michele Maatouk
Date: Monday 04 Oct 2021
(Sharecast News) - Qualcomm said on Monday that it and New York-based investment partnership SSW Partners have agreed to buy automotive technology group Veoneer in a $4.5bn cash deal.
Under the terms of the acquisition, Veoneer shareholders will receive $37 per share, which trumps an offer made by Canada's Magna by 18%. Veoneer has now terminated its prior acquisition deal with Magna, which said the company will pay a termination fee of $110m.
Cristiano Amon, president and chief executive of Qualcomm, said: "Qualcomm is the natural owner of Arriver. By integrating these assets, Qualcomm accelerates its ability to deliver a leading and horizontal ADAS solution as part of its digital chassis platform.
"We believe that this transaction and structure benefits both Qualcomm's and Veoneer's shareholders, positions all of Veoneer's businesses for success and provides a compelling opportunity to customers and employees."
Veoneer's chairman, president and CEO, Jan Carlson, said the deal with Qualcomm "creates superior value for our shareholders".
"It also provides attractive opportunities to our Arriver team at Qualcomm and allows our other businesses to find long-term industrial partners where they can continue to develop," he added.
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