Broadcom Most Likely To Receive EU Approval For $61B VMware Merger: Report

In early May, U.S. chipmaker Broadcom Inc's AVGO CEO Hock Tan proposed a pitch to EU antitrust enforcers regarding the pro-competitiveness of the proposed $61 billion bid for cloud computing firm VMware Inc VMW.

Broadcom is set to gain conditional EU antitrust approval for its proposed acquisition of VMware, reported Reuters, citing sources.

The European Commission's approval is linked to Broadcom's interoperability remedies to rivals to address competition concerns.

Also Read: Broadcom Earnings Beat: Unanimous Price Target Hike By 4 Analysts

One of the remedies focuses on Fibre Channel Host-Bus Adapters (FC HBAs) and is targeted at rival Marvell Technology, Inc MRVL, added the report.

Also Read: VMware Q1: Earnings Miss, 6% Revenue Growth, New Product Innovations & More

The EU antitrust watchdog is scheduled to decide on the deal by July 17.

Price Action: AVGO shares closed higher by 0.05% at $804.62 and VMW higher by 1.67% at $135.38 on Friday.