Major Palm Shareholder Expects Motorola Deal Soon

CNBC is reporting that a major Palm shareholder, who did not want to be identified or his stake disclosed, is expecting Motorola to acquire Palm for about $2 billion.

“They (Palm) generate a lot of cash,” the shareholder added. “Paying $2 billion in cash for a company generating $120 million in free cash flow is not a stretch. They could pay up to $25 a share and the deal would still be accretive. Accretive immediately.”

We heard a couple of days ago that Palm might be ready to sell. It was believed, however that Nokia, not Motorola had the inside track.

Motorola

Written by Robb Dunewood on March 22nd, 2007 with 5 comments.
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Get your own gravatar by visiting gravatar.com Steve (blackberrycool)
#1. March 22nd, 2007, at 11:20 AM.

I’m pulling for Motorola in this. For some reason, I’ve a feeling that Nokia would muck this up. Motorola’s getting a better idea of what needs to be done in the smartphone world, and I think this would be a great aquisition.

Get your own gravatar by visiting gravatar.com Steve (blackberrycool)
#2. March 22nd, 2007, at 11:22 AM.

*acquisition, that is. My “c” key took the morning off.

Get your own gravatar by visiting gravatar.com Robb Dunewood
#3. March 22nd, 2007, at 1:21 PM.

It looks like today won’t be the day afterall…

Trackback Mention from Rimarkable.com
#4. March 23rd, 2007, at 9:00 AM.

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#5. June 10th, 2007, at 10:09 AM.

Palm Gandolf: Maybe they can compete with this… | RIMarkable | The official, unofficial BlackBerry Weblog: has had a rough go it over the passed little bit. There have been numerous rumors about them being ...

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