VMW - Broadcom expected to offer behavioral remedy in European review of VMware deal- report

2023-05-12 14:16:02 ET

Broadcom ( NASDAQ: AVGO ) is preparing to a make a remedy to Europe's antitrust regulator as it attempts to gain approval for its planned $61 billion purchase of VMware ( NYSE: VMW ).

Broadcom ( AVGO ) is expected to offer a behavioral remedy to the European Commission to try to alleviate the regulators' concerns about interoperability, according to an MLex report. The company doesn't plan to make any structural offers such as potential divestments.

The deadline for the remedy offer is today, though Broadcom ( AVGO ) will likely ask for a 10-working day extension, according to the report.

Separately, Reuters reported the European Commission extended a final decision for the regulator to rule on the deal by three days until June 26. The deadline was extended after an agreement with the companies, an EC spokesperson told Reuters.

In February Dealreporter said antitrust regulators around the world were said to be focused on interoperability in their review of the VMW/AVGO deal.

The EC sent Broadcom ( AVGO ) a statement of objections over its proposed deal to buy VMware ( VMW ) last month. In late March the UK's Competition and Markets Authority moved its review of VMware/Broadcom into a Phase 2, or an in-depth investigation .

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