Chipmaker Qualcomm Inc. said on Thursday it had offered to acquire Swedish auto technology supplier Veoneer Inc. for $4.6 billion, trumping an earlier bid by Canadian rival Magna International Inc.
Qualcomm hopes to grow its automotive chips business by creating open and competitive platforms for automakers along with Veoneer.
Magna had offered to buy rival Veoneer in July for about $3.8 billion in cash, looking to boost its efforts on building driver assistance tech geared toward autonomous vehicles.
U.S.-listed shares of Veoneer, which makes advanced driver assistance systems that add features ranging from collision warning to parking assist, closed Thursday's trading up 28.5 percent to $40.15.
Veoneer's systems also collect data from cameras and radar to monitor surroundings, interpret the situation and take action.
Veoneer confirmed it received the nonbinding offer.
"Veoneer’s board of directors will evaluate the proposal from Qualcomm consistent with its legal duties and the terms of the Magna merger agreement," the company said. "On July 22, 2021, Veoneer announced that it entered into a definitive merger agreement, approved by Veoneer’s board of directors, with Magna International Inc. The merger agreement remains in place."
Magna declined to comment.