Fujitsu to buy ICL stake; expansion is major push into Europe's computer market

Article Abstract:

Fujitsu Ltd will pay $1.29 billion for 80 percent of Britain's ICL PLC. This is the biggest expansion by a Japanese company into Europe, making Fujitsu the world's third-largest computer company. DEC is now No. 2, and IBM is No. 1. ICL is the world's ninth-largest mainframe manufacturer. It is Western Europe's fifth-largest computer company and the most profitable. In 1989, ICL's operating profits were $234.6 million on sales of $2.61 billion. ICL has about 20 percent of the British computer market and 5 to 10 percent of the Western European market. Fujitsu had pretax profits of $1.08 billion on sales of $16.14 billion in the year ended Mar 31, deriving two-thirds, or $10.69 billion, of revenues from computers and data processing systems. Less than 5 percent came from Europe. Now, a Japanese company enters the European market in a significant way.

Merger, International, Securities Transfer

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Fujitsu buying European computer maker

Article Abstract:

Fujitsu Ltd, which is only exceeded in size by IBM in the world's computer industry, will buy Nokia Data, which is Europe's sixth-largest computer company. Fujitsu's acquisition could increase debate in Europe about whether to protect important industries there. The terms of Fujitsu's agreement are as follows: Fujitsu will pay - through a British company, ICL PLC - 230 million pounds sterling ($402.3 million) for Stockholm-based Nokia Data, and Fujitsu will assume about 100 million pounds sterling ($174.9 million) of Nokia's debt. Nokia's parent corporation, Nokia Corp, which is based in Helsinki, Finland, will receive a five percent stake in ICL.

Europe, Finance, Nokia Data Systems Oy

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Fujitsu weighs stake in a computer maker

Article Abstract:

Fujitsu Ltd is considering whether to buy a stake in British mainframe computer maker ICL PLC. ICL is Britain's sole maker of mainframe computers, and Fujitsu could gain a major hold in the European market by purchasing a majority stake. Fujitsu indicates that it might buy between 50 and 60 percent of ICL, which is valued between $1.63 billion and $2.71 billion. The stock of ICL's parent company STC PLC rose by 52.5 cents a share to close at $5.02 a share on Jul 19, 1990, on the London Stock Exchange. ICL had pretax profits of $263.7 million on sales of $2.91 billion in 1989.

Investments, Securities

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