FT: Former Qualcomm Chairman Seeks Funds To Take Company Private

(RTTNews) - Qualcomm Inc.'s (QCOM) former Chairman Paul Jacobs plans to acquire the chipmaker founded by his father and has approached several global investors in an effort to fund the buyout, the Financial Times reported.

According to the FT report, Jacobs informed members of the Qualcomm board about his intention to take the company private. Qualcomm has a market capitalization of $90 billion.

The move comes after U.S. President Donald Trump issued an executive order on Monday blocking Singapore-domiciled Broadcom Ltd. (AVGO) from pursuing its hostile takeover of San Diego-based Qualcomm, citing national security concerns.

Last week, Qualcomm said that Jacobs will no longer serve as executive chairman of its board of directors, but will continue to serve on its board. Jeffrey Henderson, an independent Qualcomm director since 2016, was named by the board to serve as non-executive chairman.

The Financial Times reported that Japanese conglomerate SoftBank Group Corp (SFTBF.PK) was one of the potential partners approached by Jacobs to fund the buyout of Qualcomm. SoftBank controls the $100 billion Vision Fund, its tech investment vehicle.

According to the FT report, Jacobs' personal ties with SoftBank founder Masayoshi Son could facilitate the deal. However, Qualcomm is an investor in the Vision Fund.

In addition, the FT report noted that a bid for Qualcomm backed by foreign funding could once again attract scrutiny from the Committee on Foreign Investment in the U.S., which reviews acquisitions of U.S. firms by foreign investors.