Featured Articles

Intel refreshes CPU roadmap

Intel refreshes CPU roadmap

Intel has revealed an update to its CPU roadmap and some things have changed in 2015 and beyond. Let’s start with the…

More...
Hands on: Nvidia Shield Tablet with Android 5.0

Hands on: Nvidia Shield Tablet with Android 5.0

We broke the news of Nvidia's ambitious gaming tablet plans back in May and now the Shield tablet got a bit…

More...
Nokia N1 Android tablet ships in Q1 2015

Nokia N1 Android tablet ships in Q1 2015

Nokia has announced its first Android tablet and when we say Nokia, we don’t mean Microsoft. The Nokia N1 was designed…

More...
Marvell launches octa-core 64-bit PXA1936

Marvell launches octa-core 64-bit PXA1936

Marvell is better known for its storage controllers, but the company doesn’t want to give up on the smartphone and…

More...
Nvidia GTX 970 SLI tested

Nvidia GTX 970 SLI tested

Nvidia recently released two new graphics cards based on its latest Maxwell GPU architecture, with exceptional performance-per-watt. The Geforce GTX 970…

More...
Frontpage Slideshow | Copyright © 2006-2010 orks, a business unit of Nuevvo Webware Ltd.
Wednesday, 05 September 2007 10:28

Gateway sells its professional business segment

Written by Nermin Hajdarbegovic

Image

To MPC Corporation, for $90 million

 

Gateway has signed a definitive agreement to sell its Professional business segment to MPC Corporation. The transaction is valued at approximately $90 million.

Earlier this year, Gateway embraced a consumer focused strategy. It aims to simplify its business model by and put more emphasis on the consumer business.

MPC is to assume ownership of Gateways Nashville based final assembly facility (GCC). It will also get a portion of Gateway's Consumer Direct unit  that targets businesses with less than 100 employees.

A significant part of Gateway Professional employees will join MPC and continue to work out of North Sioux City.

MPC will also assume responibility forr all operations and warrany support concernig Gateway's Professional business, valued at $60 million.

Gateway will invest around $10 million in MPC in the form of a note issuance tied to excess inventory at the GCC. The company will thus recieve a 19.9% stake in MPC Corporation and will also take an impairment charge of $16 million related to IT assets associated with its Professional business.

Last modified on Wednesday, 05 September 2007 11:16

Nermin Hajdarbegovic

E-mail: This e-mail address is being protected from spambots. You need JavaScript enabled to view it
blog comments powered by Disqus

 

Facebook activity

Latest Commented Articles

Recent Comments