Samsung Gets $1.5bn For Seagate Stock Sale


News: South Korea-based technology company Samsung will be given US$1.5bn from Ireland-based technology company Seagate Technology as partial payment for its hard-disk drive business it sold in April 2011, reports ZDNet. Samsung sold the unit to Seagate for US$13.75bn, US$687.5mn in cash and US$687.5mn in stock. According to the terms of the deal, Samsung owned almost 10% of Seagate and the two companies cross-licensed a number of patents. While Samsung's unit was running up losses at the time, Seagate's shares have since more than doubled, which resulted in a financial reward for Samsung, which has now agreed to sell part of its stake back to the Seagate.

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Geography: South Korea