Broadcom Is Said to Explore Deal to Buy Chipmaker Qualcomm

Broadcom Ltd. is exploring a deal to acquire Qualcomm Inc., according to people familiar with the matter, in what could be the biggest ever takeover of a chipmaker.

Broadcom is speaking to advisers about the potential deal, said the people, who asked not to be identified because talks are private. No final decisions have been made and there’s no guarantee a deal will go ahead.

Qualcomm shares rose as much as 13 percent in New York in their biggest intraday move since 2008, valuing the company at $92 billion. Broadcom fell slightly to trade up about 1 percent, for a market valuation of $107 billion.

Representatives for Broadcom and Qualcomm declined to comment.

Broadcom, created in 2016 when Avago Technologies Ltd. acquired then-Broadcom Corp. for $37 billion, said this week it will return its headquarters to the U.S. from Singapore. The company already lists San Jose, California, as a corporate co-headquarters.

The deliberations come as Qualcomm, based in San Diego, California, tries to close its $47 billion purchase of NXP Semiconductors NV. The deal is facing regulatory examination in Europe and opposition from some shareholders including activist hedge fund firm Elliott Management Corp., which has argued the offer undervalues NXP.