Broadcom took its first formal step towards launching a hostile takeover for Qualcomm on Monday. In a statement, the chipmaker unveiled a list of 11 nominees to the board of Qualcomm. The nominees consist of nine men and two women and include a former president of Nokia and the former chairman of Dialog Semiconductor. This move comes after Qualcomm rejected Broadcom’s $103bn offer last month, with Broadcom now attempting to remove Qualcomm’s board in order to force the company to engage with it. Looking forward, Qualcomm’s shareholders will be able to vote on Broadcom’s board director slate at the group’s annual meeting on the 6th of March 2017.
In currencies, the rand performed remarkably well on Monday, supported by reports that Deputy President Cyril Ramaphosa was currently the favourite to be elected president at the ANC’s elective conference later this month. After a previous close of R13.762/$ on Friday, the rand weakened early on in the session to dropping to a low of R13.803/$ at 08:40. However, from there, the rand strengthened to R13.61/$ at 17:00. The local currency continued to extend its gains overnight as it rose to just above R13.52/$ this morning.
In Asia, markets mostly lower, with the exception of the Shanghai Composite, weighed down by yesterday’s slump in US-based technology shares. The Hang Seng led the declines after dropping 0.28% to 29,056.96 index points, on track to resume its recent run of losses. The Japanese Nikkei followed close behind after it lost 0.22%, with the index set to extend yesterday’s 0.49% decline. The Australian ASX also performed poorly, down 0.17%, but this was partly offset by a 0.06% increase in the Shanghai Composite as it moved to 3,311.59 index points at the break.
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