Motorola buys Symbol Technologies
Schaumburg (IL) - Motorola and Symbol Technologies today announced that they have merged in an arrangement that Motorola says will help its business strategy of seamless mobile integration. The acquisition, which costs Motorola $15 per share of Symbol stock, is expected to be finalized by the early part of 2007.
The total value of the deal is about $4 billion. Symbol provides the technology for such crucial processes as barcode scanners, computerized payment systems, and radio frequency identification (RFID). Motorola hopes that acquiring a company with such a technological backbone will help it grow as the current second largest cell phone manufacturer.
"This transaction significantly advances Motorola's enterprise mobility strategy and is consistent with our focus on building on our already strong intellectual property portfolio and extending Motorola's seamless mobility leadership. We are confident that this transaction will create significant value for stockholders by establishing a strong presence for Motorola in attractive adjacencies with enormous potential for sustained growth," said Motorola CEO Ed Zander.
Symbol Technologies will become a wholly owned subsidiary of Motorola and, according to Motorola, the company will be the "cornerstone of Motorola's Networks and Enterprise business".