Magna’s deal for auto-technology company ends
The amount Qualcomm will pay for Arriver was not immediately available.
Magna agreed in July to buy Veoneer for $31.25 a share to strengthen its position in advanced driver-assistance systems, or ADAS, which include features like adaptive cruise control and lane-keeping assistance.
Qualcomm stepped in in August with a bid of $37 per share, and Weiner agreed to negotiate a deal. Weiner’s agreement with Magna allows the Stockholm company to accept a better offer and walk away from the Magna deal in exchange for a breakup fee of $110 million.
Qualcomm and SSW said on Monday that Veneer has terminated its agreement with Magna and called off a shareholder vote scheduled for October 19 to approve the deal.
Prior to the announcement of the Magna deal, the Qualcomm/SSW deal represents an 18% premium to the Magna Accord and an 86% premium to Veneer’s July 22 closing price of $19.93. Shares of Veoneer closed at $34.55 on Friday.
Qualcomm and SSW said they expect the Veneer deal to close next year.
Colin Kellaher [email protected] . Feather