Arab Today, arab today lenovo shares tumble 1640 in hong kong
Last Updated : GMT 18:14:55
Arab Today, arab today
Arab Today, arab today

Lenovo shares tumble 16.40% in Hong Kong

Arab Today, arab today

Arab Today, arab today Lenovo shares tumble 16.40% in Hong Kong

Hong Kong - AFP

Shares in Lenovo dived 16.40 percent in Hong Kong Tuesday, with traders worried the Chinese technology giant has bitten off more than it can chew with its $2.91 billion purchase of struggling handset maker Motorola. The firm tumbled to HK$8.41 by the close following a more than eight percent slump on Thursday before the market closed for the Lunar New year holiday. The purchase of Motorola from Google on Wednesday came a week after Lenovo bought IBM's low-end server business for $2.3 billion. The deal has spooked investors worried about Motorola's profitability. The benchmark Hang Seng Index was down 2.89 percent, in line with a regional sell-off after heavy losses on Wall Street sparked by weaker-than-expected US manufacturing data. "People don't think it will be worth it to pay such a large amount money to acquire Motorola," Core Pacific Yamaichi research analyst Felix Kwok told AFP. Lenovo in 2013 become the world's biggest PC maker, eight years after buying IBM's PC business. However, investors do not think the Motorola brand is strong enough to boost Lenovo, Kwok said, adding that the handset maker has been on a downward trend for the past two years. "Everyone's worried about whether or not Lenovo would be able to turn Motorola from a loss to a profit in short term," Tanrich Securities vice president Jackson Wong told AFP. Even under Google, Motorola failed to gain traction in a rapidly evolving smartphone market now dominated by South Korea's Samsung and US-based Apple. Google's inability to make Motorola profitable has sparked doubts about Lenovo's ability to turn the handset maker around, Wong said, adding that there were also worries about how it would fund the purchases. The US Internet giant's decision to sell Motorola will leave it with a huge loss after buying it for $12.5 billion in 2011. Last week's deal provides Lenovo with footholds in smartphone and tablet markets where it is eager to gain traction, while acting as a peace offering to Samsung and other partners that make devices powered by Google-backed Android software. The deal came just a week after Lenovo said it will buy IBM's low-end server business for $2.3 billion, giving it a platform to compete in that sector with US giants Dell and Hewlett-Packard. Tuesday's losses also come after Japanese public broadcaster NHK reported over the weekend that Sony was in talks with Lenovo about plans to set up a personal computer joint venture. The report said the move was part of Sony's bid to repair its troubled electronics business including the PC division under the Vaio brand. However, Sony issued a statement on Saturday saying the "report on a possible PC business alliance between Sony and Lenovo is inaccurate".

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today lenovo shares tumble 1640 in hong kong Arab Today, arab today lenovo shares tumble 1640 in hong kong

 



Arab Today, arab today
Arab Today, arab today Rabia Fatima reveals role of "Facebook" in her career

GMT 13:47 2017 Friday ,24 February

Rabia Fatima reveals role of "Facebook" in her career
Arab Today, arab today Messi visit will contribute in tourism

GMT 14:04 2017 Friday ,24 February

Messi visit will contribute in tourism
Arab Today, arab today Expresses Algerian history by woody figures

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures
Arab Today, arab today Mental conflict endures

GMT 07:36 2017 Friday ,24 February

Mental conflict endures

GMT 06:25 2017 Thursday ,23 February

Bupa Arabia sponsors SMEA forum

GMT 06:11 2017 Thursday ,23 February

Football: Turkish company wins Qatar World Cup contract

GMT 05:46 2017 Thursday ,23 February

SABIC net profits fall in 2016

GMT 21:01 2017 Wednesday ,22 February

Saudi Aramco mulls offering citizens discounted shares

GMT 16:50 2017 Wednesday ,22 February

Yahoo salvages Verizon deal
View News in Arabic - Business: أخبار الشركات
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Reading therapy relieves mental disorders

GMT 15:39 2017 Friday ,24 February

Reading therapy relieves mental disorders
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Nissan enhances sales in most markets

GMT 14:08 2017 Monday ,20 February

Nissan enhances sales in most markets
Arab Today, arab today Wafaa Amer is happy for Sherihan’s return

GMT 07:36 2017 Wednesday ,22 February

Wafaa Amer is happy for Sherihan’s return
Arab Today, arab today Milan laughs while Rome cries

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 05:19 2017 Tuesday ,21 February

Salma Rashid happy for 'A Whisper of Love'

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 15:53 2017 Tuesday ,21 February

Small ponds have outsized impact

GMT 20:33 2017 Friday ,17 February

To release new antiques collection

GMT 07:51 2017 Wednesday ,22 February

Mom's immune system accepts babies

GMT 09:59 2017 Monday ,20 February

Tourism shows signs of recovery

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 14:29 2017 Monday ,20 February

Prepares to present her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday