Topic: lenovo to buy ibm server unit!!! (Read 374 times)

lenovo to buy ibm server unit for $2.3 billion wow i thought they where going bust!

http://www.bloomberg.com/news/2014-01-22/u-s-security-review-seen-should-lenovo-bid-for-ibm-unit.html

Lenovo disclosed this week that it is in preliminary talks on a potential acquisition without identifying the target. The Beijing-based company is likely to pay $2 billion to $2.5 billion for the IBM unit and a deal may be announced as soon as this week, according to a person familiar with the matter who asked not to be identified ahead of a formal announcement.

“I believe concerns of national security will be an issue,” in Lenovo’s possible purchase of the IBM unit, Stephen Yang, a Hong Kong-based analyst at Sun Hung Kai Financial, said yesterday. He said it’s too soon to tell whether a review would derail a possible deal.

Growing Chinese investment in the U.S. has prompted national-security concerns. Proposed transactions by Chinese companies accounted for about 20 percent of the 114 reviews by an inter-agency government panel in 2012, supplanting the U.K. as the most-scrutinized nation.

The panel, the Committee on Foreign Investment in the United States, reviews transactions for national-security issues and is led by U.S. Treasury Secretary Jacob J. Lew. It consists of the heads of federal agencies including the departments of Commerce, Defense, Homeland Security, Justice, State and the Office of the U.S. Trade Representative.