Veoneer Receives Updated Non-binding Proposal From Qualcomm - Quick Facts

Swedish automobile chip manufacturer Veoneer Inc (VNE) confirmed that it has received an updated non-binding proposal from Qualcomm providing for the acquisition of all of the outstanding shares of Veoneer at a price of $37.00 per share in cash, following Qualcomm's public announcement of a proposal on August 5, 2021.

Veoneer said it is evaluating all of the terms of Qualcomm's proposal in consultation with its financial and legal advisors and will, if appropriate, engage in negotiations with Qualcomm and/or Magna to ascertain the best possible outcome for its stockholders.

Veoneer noted that there can be no assurances that Veoneer's discussions with Qualcomm will result in a transaction that the Veoneer board determines is superior to Veoneer's pending transaction with Magna.

Veoneer said that the merger agreement with Magna remains in full force and effect, and the board of directors of Veoneer has not withdrawn or modified its recommendation that the stockholders of Veoneer vote in favor of the approval of the merger.

In July 2021, Magna International Inc. (MGA,MG.TO) agreed to buy all of the issued and outstanding shares of Veoneer for $31.25 per share in cash, representing an equity value of $3.8 billion, and an enterprise value of $3.3 billion, inclusive of Veoneer's cash, net of debt and other debt-like items as of March 31, 2021.

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