Lenovo buys Motorola from Google for $2.91 billion

Motorola and Google on August 15, 2011 approved a deal which stated that Motorola would be bought by Google for $40 per share ($12.5 billion). CEO of both the companies approved the deal. And on May 22, 2012 Google successfully bought Motorola for $12.5 billion just like stated in the contract. But now, Google
has agreed to sell the mobile unit of Motorola to the Chinese tech company, Lenovo. Google has sold only the mobile unit of the company and most of the patents and majority ownership is still held by Google. Lenovo will be buying the Motorola mobile unit for $2.91 billion. Out of $2.91 billion, $660 million will be paid in cash and $750 million in stock. And the remaining $1.5 billion will be paid over the coming 3 years. Lenovo CEO Yang Yuanqing stated that they don't have an effective plan about the company yet but they will turn around the unprofitable fortune of Motorola very soon. He also said that within a year after taking over Motorolla, they plan to sell nearly 100 million smartphones worldwide. Lets see if Lenovo CEO turns successful with this decision or not.

Source 1 | Source 2 | Via