06:33 AM EDT, 08/23/2024 (MT Newswires) -- Qualcomm ( QCOM ) said Friday that its subsidiary Qualcomm Technologies has entered a definitive agreement to buy Sequans Communications' ( SQNS ) 4G Internet of Things technologies for $200 million.

The purchase price was announced in a Sequans' statement. The acquisition includes certain employees, assets and licenses. The transaction is expected to close by the end of October.

Sequans will receive $185 million in cash, with $175 million payable at closing and up to an additional $10 million after the completion of a one-year warranty period. The remaining $15 million has already been paid under a pre-transaction manufacturing license agreement in June.

Sequans will retain full rights to continue to use the technology commercially through a perpetual license agreement, the companies said.

Sequans' shares soared about 80% during recent premarket activity on Friday.

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