How Much Qualcomm Should Shell Out for NXP

Qualcomm is still battling to secure its acquisition of Dutch chipmaker NXP Semiconductors. The tender offer expires on November 17th, but with the stock trading above the $110 offer price, will the deal get done? Seeking Alpha author Michael Kramer says it won't close at that price. He believes Qualcomm needs to come up to $125 or $130 per share for the chip company. What's the holdup? When Qualcomm first bid for NXP, $110 was a pretty good price, but since the sector has been one of the hottest this year, investors are pressuring NXP to pass on that price. NXP is one of the biggest chip providers for autonomous technology and Qualcomm is itching to add the company to its portfolio. Qualcomm's battle with Apple has left it strapped for cash, and it needs to start bringing in the revenue NXP will provide it with its chip technology.
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