Broadcom Shares Surged Monday: What Happened?

Broadcom Inc. AVGO shares traded higher Monday following reports that the company is set to receive approval from EU antitrust regulators to acquire VMware VMW for $61 billion. 

What To Know: Broadcom is expected to be approved for a takeover of VMware after CEO Hock Tan pitched EU antitrust enforcers in May on the pro-competitiveness of the bid, per Reuters.

According to people familiar with the matter, the approval is tied to interoperability remedies to rivals to address competition worries. One of the remedies is related to the Fibre Channel Host-Bus Adapters and is aimed at Marvell Technology, Inc MRVL.

Broadcom is one of the leading suppliers of Fibre Channel Host-Bus Adapters. The company also supplies chips for networking data centers and designs chips that boost AI speeds.

Related Link: Why Catalent Stock Is Trading Higher Today

AVGO Price Action: Shares of AVGO closed up 6.31% at $855.36, according to Benzinga Pro.

Image by Willfried Wende from Pixabay