Broadcom closes $69 billion VMware deal after China approval
Summary
REUTERS/Mike Blake/File Photo Acquire Licensing Rights Nov 22 (Reuters) - Broadcom (AVGO.O) on Wednesday closed its $69 billion acquisition of cloud-computing firm VMware (VMW.N) after receiving regulatory approval in last major market China and ending a months-long saga. Chinas regulatory approval came through on Tuesday after ongoing tensions with the U.S. around tougher chip export control measures had stoked fears among some investors on the companys ability to close the deal before the Nov. 26 deadline. The European Commission had approved the acquisition after Broadcom offered remedies to help rival Marvell Technology (MRVL.O) while the UKs Competition and Markets Authority (CMA) gave its green light following an in-depth investigation. "Perhaps we will see some boards being willing to move forward now that we have seen the (Activision Blizzard) and (VMware) get blessing, but dont think we can count on it," said Cabot Henderson, market strategist at JonesTrading, on Tuesday. Big Tech mergers such as Microsofts (MSFT.O) now-closed $69 billion purchase of the "Call of Duty" publisher Activision have faced heightened regulatory pressure from the U.S. Federal Trade Commission under its Chair Lina Khan.
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