Qualcomm, SSW Partners to buy Veoneer in $4.5 billion deal

October 4, 2021

STOCKHOLM (Reuters) – Swedish automotive technology group Veoneer said on Monday chipmaker Qualcomm Inc and SSW Partners, a New York-based investment partnership, had reached a definite agreement to buy it.

Veoneer said in a statement on Monday that Qualcomm and SWW Partners would buy it for $37.00 per share in an all-cash transaction, representing a total equity value for Veoneer of $4.5 billion.

It added that it had terminated its prior acquisition agreement with Magna. In a separate statement, Magna said Veoneer will pay a termination fee of $110 million to Magna.

Qualcomm in August offered to buy Veoneer at an 18.4% premium to a July bid worth around $3.8 billion by Canada’s Magna that had already been accepted by Veoneer’s board.

The Swedish company has become an attractive takeover target as its expertise in making advanced driver assistance systems fits in the plan for both Qualcomm and Magna in cornering a share in a growing business.

Veoneer’s Stockholm-listed shares rose 4.3% at 1316 GMT.

(Reporting by Anna Ringstrom and Helena Soderpalm; editing by Niklas Pollard)

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