International Electronics Business News Broadcom stated on its official website that it plans to complete the acquisition of cloud computing company VMware on November 22.

Prior to this, China's State Administration for Market Regulation approved the acquisition with additional restrictive conditions on Tuesday (21st). To date, the transaction has received approval from all regulatory authorities.

Broadcom noted that the company has obtained legal merger licenses in Australia, Brazil, Canada, China, the European Union, Israel, Japan, South Africa, South Korea, Taiwan, and the United Kingdom, and has obtained foreign investment control licenses in all necessary jurisdictions. According to U.S. M&A regulations, there are no legal obstacles to M&A transactions.

On November 21, the State Administration for Market Regulation issued an announcement on the antitrust review decision to approve Broadcom's acquisition of VMware's equity with additional restrictive conditions. The parties to the transaction and the post-concentration entity are required to sell Broadcom's Fiber Channel adapters, storage adapters, Ethernet network cards (hereinafter referred to as related hardware products) and VMware's server virtualization software to the domestic market in mainland China in any way without justifiable reasons. Tying, or attaching any other unreasonable transaction conditions; shall not hinder or restrict customers from purchasing or using the above products alone; shall not discriminate against customers who purchase the above products alone in terms of service level, price or functionality.

Broadcom said in May last year that it would acquire VMware for $61 billion in equity and the remaining debt in an effort to diversify enterprise software.

Last month, Broadcom said it expected the proposed acquisition of VMware to "still be completed soon," but in any case before the merger agreement expires. The transaction agreement between the two companies expires on November 26. If the acquisition fails to obtain regulatory approval in time and the transaction is terminated, Broadcom will need to pay a termination fee of US$1.5 billion in accordance with the terms of the agreement.

View more at EASELINK