RSSImation Acquires Memorex for $330M
By the Betanews Staff | Published January 20, 2006, 12:41 PM
Imation has agreed to purchase competitor and fellow blank media manufacturer Memorex in a cash transaction worth $330 million. Additional cash payments of between $5 and $45 million would be paid based on future financial performance. The combined company would maintain Memorex's headquarters in Cerritos, Calif.
The acquisition would complete in the second quarter, and Memorex should be fully integrated with Imation by the end of the year, the companies said. "Added to our technology expertise, strong B2B brand, global footprint, broad product portfolio and industry experience, we are creating a new global powerhouse in the data storage industry," said Imation chairman and CEO Bruce Henderson.
My brother works at Imation, they are firing people left and right.
At the plant in Wahpeton, ND, where he works, in the last 2 or 3 years they fired at least 500 people and they are going to fire another 100 during the summer.
This is probably why they have been doing that, to save up some money, and also get money for the head honkeys.
My brother said Imation bought out a company, but I didn't think they bought out Memorex, I thougt Memorex was bigger than Imation.
Anyways, Imation generally sells blanks to foriegn countries, so buying Memorex will probably make an increase in how much money they get in the U.S.
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|You're slowing down BetaNews - ths story was on Imation's website on 19 January!
Either Imation just got themselves a real bargain, or Memorex is in trouble than Imation's positive-sounding press release reveals. $330 seems a little low, but it does add nicely to what Imation's website strangely calles its "global technology engine".
What's a global technology engine?
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|never had a problem w/ Imation, Memorex I've always questioned how they can label a CDR "Music CDR Media" and mark it up 4$ more than the "Data" ones even though physically and performance-wise they're both the same in practice, at least in my experience.
I respect Imation for at least attempting to replace the slow floppy drive standard w/ their "SuperDisk 120MB" drive that was compatible w/ all floppies.
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|Hopefully the quality will be at least as good as it is now for either one. On the average, i get about as many bad disks from a spindle, with either brand. Dvd-r`s being the worst, and hardly ever get a bad cd from either.
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|I actually have had fewer problems with imation than with memorex, so I am hoping that memorex gets better. Maybe we will see the best of both worlds and they will both improve for it?
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|imation is the worst brand ever. now memorex is going to go down the drain too. it's a sad day.
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|Whoah. I'm speechless. I would have thought that Memorex would have bought other companies before being bought by Imation...
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|Memorex CD-Rs are decent, but the less said about their DVD+/-Rs the better. I hope the quality of Memorex blank DVDs will improve up to par with Imation offerings (which I use extensively).
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|Seems a little cheap. Perhaps there's more to the story.
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|Ya.. it's a steal! That is less then what Mammoth Mountain sold for..
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|I'm actually surprised it didn't go for more than $330 million.
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|Oh boy! Two cheapie disk makers are moving under one roof. I don't buy their poor quality media and don't really care. Some brand name products are discounted enough by the case at certain wholesale outlet stores like COSTCO...
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