Wednesday, 3 October 2007

Acer Extends Gateway Offer

Taiwan’s Acer, the world’s third largest PC maker has extended its USD 710 million offer for American rival Gateway to let American regulators time to complete a review of the deal.

Acer said the offer would be valid until 5 PM till Wednesday Oct. 10, from midnight EDT on Oct. 1.
Acer had acquired almost 81 per cent of ailing American computer maker Gateway two months ago, in a deal that not just made it surpass Lenovo as the world’s third largest PC maker but also strengthened its foothold in the highly competitive American market where Dell and HP still rule the computer market.

Lenovo, which until recently was the third placed global PC maker wants to acquire Packard Bell, the Dutch maker of computers, which will strengthen its position in the European market, where Lenovo is still a unknown brand. However Packard Bell is indirectly controlled by Gateway and once Acer gets to acquire Gateway, Packard Bell will eventually fall into hands of Acer.