Google buys 5.94% stake in Lenovo

Google has bought a 5.94 per cent stake in Lenovo and agreed to sell the Chinese tech giant handset maker Motorola.

Google has bought a 5.94 per cent stake in Lenovo for $US750 million ($A839.30 million) while also agreeing to sell handset maker Motorola to the Chinese technology giant.

The US internet firm acquired 618.3 million shares in the PC maker at $1.213 each when Lenovo bought Motorola for $US2.91 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 $US2.3 billion, giving it a platform to compete in that sector with US giants Dell and Hewlett-Packard.


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Source: AAP


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