Seagate settles terms for buyout of Lacie

STORAGE VENDOR Seagate has reached an agreement for acquisition of fashionable hard drive enclosure designer Lacie.

Seagate announced its intention to purchase Lacie back in May to bolster its consumer portable hard drive line. Now the two firms have come to an agreement over the price of Lacie co-founder Philippe Spruch and his affiliates' shares that represent 64.5 per cent of the firm, with Seagate paying €4.05 per share.

Seagate could end up paying Spruch even more for his sheres, agreeing that if it should hold 95 per cent or more of the firm within the next six months it will pay €4.17 per share. Seagate said it intends to file an all-cash tender offer on the remaining Lacie shares within a week.

For those Lacie shares Seagate has agreed with the Lacie board to pay €4.50 per share. The firm said it might carry out a squeeze-out procedure at €4.50 per share if it holds 95 per cent of Lacie's shares and voting rights.

According to Lacie, its board will support Seagate's latest share offer.

Seagate's purchase of Lacie further consolidates the hard drive business. Although Lacie never made its own hard drives, the choice of pre-assembled portable hard drives on the shelves has declined and with it the possibility of competition. µ