Google buys 5.94% stake in Lenovo on same day it agrees to sell Motorola
February 8, 2014, 12:06 am TWN
HONG KONG -- Google bought a 5.94 percent stake in Lenovo for US$750 million on the same day it agreed to sell handset maker Motorola to the Chinese technology giant, a report said Friday.
The U.S. Internet firm acquired 618.3 million shares in the PC maker at US$1.213 each when Lenovo bought Motorola for US$2.91 billion last Thursday, according to Dow Jones Newswires.
The deal provides Lenovo with footholds in smartphone and tablet markets where it is eager to gain traction.
It also came just a week after the Chinese firm said it will buy IBM's low-end server business for US$2.3 billion, giving it a platform to compete in that sector with U.S. giants Dell and Hewlett-Packard.