(Reuters) – Broadcom Ltd () is exploring a deal to buy smartphone chip maker Qualcomm Inc () and is speaking to advisers, Bloomberg reported on Friday.
No final decisions have been made and there is no guarantee a deal will go ahead, Bloomberg said.
Shares of Qualcomm jumped 18 percent, while Broadcom’s stock climbed 3.5 percent on Friday afternoon.
The news comes at a time when Qualcomm is already in the process of completing its $38 billion acquisition of NXP Semiconductors NV (). Shares of NXP fell 3 percent.
Qualcomm declined to comment, while Broadcom did not immediately respond.
The report also comes when Qualcomm faces a multi-national legal battle with Apple Inc () over Qualcomm’s licensing terms to Apple.
Reporting by Sonam Rai in Bengaluru; Editing by Sai Sachin Ravikumar