A PYMNTS Company

US: Qualcomm under pressure to breakup

By  |  April 13, 2015

US chipmaker Qualcomm is reported to have come under pressure from an activist shareholder called Jana Partners to separate its manufacturing unit from its patents business.

According to a report from the Wall Street Journal, Jana Partners believes the move would boost the share price of the company, essentially viewing the manufacturing business as a drag on the more valuable patents arm.

At the end of last week, Qualcomm Inc share price had lost nearly 13% of its value on the Nasdaq over the preceding year amid concern about the company’s prospects, but shares were trading up around 3.5% this morning following the report.

In February, the chipmaker agreed to pay a $975 million fine to settle an antitrust spat with Chinese authorities.

 

Full Content: The Wall Street Journal

 

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.