Broadcom set to receive EU warning on planned VMware takeover - report
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Broadcom (NASDAQ:AVGO) is expected to receive a European Union antitrust warning concerning its planned $61 billion takeover of VMware (NYSE:VMW) in the coming weeks.
The European Commission will disclose its concerns about the deal in a statement of objections, according a Reuters report from earlier Monday, which cited people familiar. Broadcom (AVGO) is expected to offer potential remedies only after it receives the charge sheet from the European regulator, though no asset sales are likely to be offered. 
The report comes after European Union in December said it would open up an "in-depth" investigation into the VMware (VMW) transaction. The EC said it was "particularly concerned" that the deal could allow Broadcom (AVGO) to restrict competition for certain hardware components that operate with VMware's (VMW) software.
The EC is set to decided on the VMware/Broadcom transaction by a June 7 deadline.
In January the U.K.'s Competition and Markets Authority said it would investigate the VMware (VMW) deal.
In May, Broadcom (AVGO) announced that it was acquiring VMware (VMW) for $61B in cash and stock.