(Reuters) – Chipmaker Broadcom Inc (AVGO.O) said on Wednesday a faked memo, purportedly from the U.S. Department of Defense, had been circulated among lawmakers calling for a review of its $19 billion acquisition of software company CA Technologies (CA.O).
A sign to the campus offices of chip maker Broadcom Ltd, is shown in Irvine, California, U.S., November 6, 2017. REUTERS/Mike Blake
“We have been informed by DoD officials that this memo is in fact a forged document,” Broadcom said in a statement.
“Broadcom and CA Technologies are both American companies, and there is no basis in fact or law for CFIUS review of our pending transaction.” The Committee on Foreign Investment in the United States (CFIUS) is the government panel that reviews deals for potential national security risks.
Broadcom announced the deal to buy CA Technologies in July, months after U.S. President Donald Trump blocked the chipmaker’s $117 billion hostile bid for peer Qualcomm Inc (QCOM.O) on national security grounds.
Since then, Broadcom has redomiciled from Singapore to the United States, placing it formally outside CFIUS purview.
Several media reports on Wednesday said U.S. Senator Rand Paul had called for a review of the deal. Neither DoD nor Paul responded to Reuters calls, emails and tweets requesting comment.
Shares of Broadcom were down 1.2 percent at $241.79 and those of CA slipped 2.3 percent at $42.92.
Reporting by Munsif Vengattil and Sonam Rai in Bengaluru; Editing by Arun Koyyur