U.S. semiconductor giant Qualcomm (QCOM, Financial) has agreed to acquire London-listed chip design company Alphawave for $2.4 billion. Following this announcement, Alphawave's stock surged by over 20%. Qualcomm, headquartered in California, will execute an all-cash acquisition at 183 pence ($2.48) per share. The acquisition intention was initially announced by Qualcomm in early April when Alphawave's stock was priced at 94 pence, leading to a final cash offer with a 95% premium.
Analysts had anticipated the acquisition due to Alphawave's significant intellectual property in high-speed connectivity. Alphawave boasts a diverse client base, including a major hyperscale company, which analysts speculate to be Amazon AWS.
