Mubasher: Chinese authorities are set to approve the $44 billion acquisition by Qualcomm of NXP Semiconductors, as reported by Reuters.

It was reported in February that Qualcomm has agreed to increase its bid by 16% to $127.5 per NXP share, after months of pressure from hedge funds including Elliott Management, as reported by the Financial Times on Tuesday.

The chip manufacturing giant aims to further diversify its business with the potential acquisition.

The decision will sign an improvement in trade ties between the United States and China, after recent tariffs threatened of a trade war.