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'What the Hock?'; Broadcom shares sink on shock software deal


(Reuters) - Broadcom Inc's surprise bid to buy software company CA Inc knocked $11 billion off the value of the chipmaker in trading before the bell on Wall Street on Thursday, with analysts struggling to find a clear rationale behind the deal. Broadcom, which has mushroomed in value by buying out rivals in the past decade's surge in mobile phone production, agreed on Wednesday to buy mainframe software company CA for $18.9 billion in cash, months after President Donald Trump blocked its $117 billion mega-merger with Qualcomm Inc.While some analysts said the shift in sectoral focus might ...

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First Published: Thu, July 12 2018. 18:24 IST