Communications equipment vendor Motorola is to separate itself into two independent, publicly traded companies by the first quarter of 2011. One will include the company’s Mobile Devices and Home businesses, which includes its set-top box operations, and…
Communications equipment vendor Motorola is to separate itself into two independent, publicly traded companies by the first quarter of 2011. One will include the company’s Mobile Devices and Home businesses, which includes its set-top box operations, and the other will include its Enterprise Mobility Solutions and Networks businesses.
Dr. Sanjay Jha, co-chief executive officer of Motorola, will serve as chief executive officer of Motorola’s Mobile Devices and Home businesses, while Motorola’s other co-CEO Greg Brown will serve as chief executive of Motorola’s Enterprise Mobility Solutions and Networks businesses. Both are effective immediately.
Jha said: “The combination of Mobile Devices and our Home business brings together two highly complementary and innovative organizations. Together we will be best positioned to lead in the convergence of mobility, media, and the Internet. Our expanding portfolio of smartphones and end-to-end video content delivery capabilities will enable us to provide advanced mobile media solutions and multi-screen experiences for our customers.”
Late last year, Motorola had reportedly been considering selling its home business and had hired Goldman Sachs, JP Morgan Chase and Centerview Partners to advise it on its strategic options. Reports in the US claim that the equipment vendor decided to pull the sale as bids were lower than its valuation. The unit was rumoured to have attracted interest from private equity firms TPG and Silver Lake Partners.