Qualcomm is reportedly in talks to buy NXP Semiconductors, and both stocks are surging (QCOM, NXPI)
Reuters/Michael Fiala
Qualcomm is in talks to buy NXP Semiconductors, according to Eyk Henning, Dana Mattioli and Dana Cimilluca at The Wall Street Journal.
Qualcomm is worth $95 billion, while NXP has a market cap of $32 billion.
A deal could happen within the next two to three months, according to the report.
A spokesperson for Netherlands-based NXP said the company does not comment on "rumors or speculation."
The deal would add to a wave of consolidation that's swept the semiconductor industry in the past few years.
There has been a frenzy of multibillion-dollar deals in the tech industry over the past 20 months, including Intel's takeover of Altera, Avago's acquisition of Broadcom, and Dell's $67 billion takeover of EMC.
Also, Analog Devices struck a $14.8 billion deal to buy Linear Technology, Dutch chip-making company ASML bought Taiwan's Hermes Microvision for $3.1 billion, and NXP sold its standard-products business to a group of Chinese investors for $2.75 billion.
NXP shares jumped by as much as 17% after the news. Trading of the stock was briefly halted for volatility.
Qualcomm shares are also up around 4%.
Reuters/Michael Fiala
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