UPDATE 1-Broadcom asks Emulex for confidential information

*Broadcom CEO says could change terms if it saw more data

*Emulex CEO sees no benefit to sharing sensitive data

*Broadcom CEO looks for consents by July 4

*Broadcom "still serious" but won't wait forever

*Broadcom shares up 5 pct, Emulex shares flat

By Sinead Carew

NEW YORK, June 9 (Reuters) - Broadcom Corp (BRCM.O) said it could "take a different view" of the terms offered in its hostile takeover bid for Emulex Corp (ELX.N) if storage technology company Emulex gave Broadcom access to confidential information.

Broadcom's request, disclosed on Tuesday, is the latest twist in the pair's bitter battle stemming from the wireless chip maker's hostile bid to buy Emulex for $764 million, or $9.25 per share. [ID:nN04338030]

Emulex, whose shares traded at $10.60 on Tuesday, has dismissed Broadcom's offer as "grossly inadequate" and urged its shareholders not to tender their shares to Broadcom.

Broadcom Chief Executive Scott McGregor said in an email to Emulex CEO Jim McCluney on June 8 that if Emulex could justify a valuation "not ascertainable from public information," Broadcom would consider it.

McCluney denied the request for access, saying Broadcom was asking for "highly competitive and sensitive information" such as details about Emulex technology, its financial plans and its customer plans.

"We fail to see how it would be in the best interests of Emulex stockholders to share such information with Broadcom based on the facts you have made public to date," said McCluney in an email to McGregor.

Broadcom said the executives exchanged emails on June 8 after McGregor called McCluney on the telephone on June 5.

The emails were included with Broadcom's official consent solicitation to Emulex shareholders, filed on Tuesday, asking them to seek a company bylaw amendment that would allow them to call a special shareholder meeting to vote on the bid.

WILLING TO TALK

McGregor said in a telephone interview with Reuters on Tuesday that he remains serious about the bid for Emulex but would not "wait around forever."

He said that Broadcom has the flexibility to change its offer terms at any time but declined to say how far Broadcom would go if it raised its bid.

"Of course we're going to be disciplined in our approach here, but we're willing to talk about all terms," he said.

The executive said that he'd like to get the consents from shareholders "in before the July 4th weekend."

If that happened, Emulex shareholders would be able to call a special meeting by the end of the summer, he said.

Broadcom said at the special meeting it would seek to have Emulex shareholders remove their board and elect an alternative slate of directors.

In a separate statement released on Tuesday, Emulex said it would hold its annual shareholder meeting on Nov. 19. It also urged shareholders not to respond to Broadcom's consent solicitation.

Instead, it asked shareholders to let Emulex know whether they are rejecting Broadcom's solicitation, to help keep it "informed of stockholder sentiment."

McGregor described scheduling the annual meeting as a "delaying tactic."

Broadcom is upping the ante with its latest disclosure after it had to extend its tender offer for Emulex shares by two weeks because the offer attracted less than 3 percent of Emulex's outstanding shares. It extended the tender offer deadline from June 3 to June 17. [ID:nN04191091]

Emulex shares were flat at $10.60 on the New York Stock Exchange on Tuesday afternoon. Its shares have risen from $6.61 before Broadcom made its bid public.

Broadcom shares were up $1.31, or 5.1 percent, at $27.13 on Nasdaq after its bigger rival Texas Instruments Inc TXN.N raised its forecast for the current quarter late Monday.

The company's chief financial officer Eric Brandt declined to give an update on Broadcom's financial forecasts when asked during a webcast of an investor conference.

"Until we see a sustained improvement in the economy, we'll continue to play defense," Brandt said. (Additional reporting by Anupreeta Das; Editing by Brian Moss and Gerald E. McCormick)