Broadcom Stock Is Climbing: What's Going On?

Broadcom Inc AVGO shares are trading higher Monday after the company affirmed its expectation that its VMware Inc VMW acquisition will close at the end of October. 

What Happened: Broadcom said it expects the acquisition of VMware to close on Oct. 30 after making progress with various regulatory authorities. 

The company received final transaction approval from the United Kingdom's Competition and Markets Authority (CMA) on Aug. 21. The approval came after Broadcom received legal merger clearance in the European Union, as well as in Australia, Brazil, Canada, Israel, South Africa and Taiwan.

In the U.S., pre-merger waiting periods have expired and no legal hurdles remain. 

"Broadcom continues to work constructively with regulators in other jurisdictions and is in the advanced stages of the process toward obtaining the remaining required regulatory approvals, which Broadcom believes will be received before October 30, 2023," the company said. 

Broadcom and VMware agreed to further extend the outside date in the transaction agreement. The company noted that it's confident the business combination will enhance cloud competition and give customers more choice and control. 

See Also: Broadcom Gets $28.4B Loan For Acquisition Of VMware

AVGO Price Action: Broadcom shares were up 1.95% at $841.95 at the time of publication, according to Benzinga Pro.

Photo: Jernej Furman from Flickr.