Acer has agreed to acquire the computer maker Gateway and to pay around $710 million in cash for the acquisition. Both Gateway's and Acer's board of directors have approved the acquisition and the transaction is expected to be closed by December 2007.
Acer said in the press release that this acquisition would create a multi-brand company with more than $15 billion in annual revenue and shipments in excess of 20 million PC units a year.
“This strategic transaction is an important milestone in Acer’s long history” said J.T. Wang, Chairman of Acer. “The acquisition of Gateway and its strong brand immediately completes Acer’s global footprint, by strengthening our US presence. This will be an excellent addition to Acer’s already strong positions in Europe and Asia. Upon acquiring Gateway, we will further solidify our position as number three PC vendor globally.”
[via press release]