Less than a month before Qualcomm shareholders are slated to vote on whether to keep the company's current directors or replace a majority with nominees proposed by prospective acquirer Broadcom, Qualcomm is increasing its quarterly dividend 9 percent.
Previously 57 cents per share, the dividend for payouts issued after March 21 will be 62 cents per share. Annualized, shareholders will get $2.48 per share, up from $2.28.
The San Diego chipmaker is looking to keep its shareholders happy ahead of an April 5 meeting at which they are scheduled to decide whether or not to grant control of the board to a slate of candidates nominated by Broadcom, which has offered $117 billion to buy Qualcomm.
Qualcomm has said the proposed terms of the deal undervalue the company.
Qualcomm CEO Steve Mollenkopf called the decision to raise dividend payouts "a reflection of our commitment to returning capital to stockholders."
Reach reporter Sarah de Crescenzo at firstname.lastname@example.org.