Summary
Motorola Solutions, Inc. (MSI) has officially completed the sale of its Enterprise business to Zebra Technologies Corporation on October 27, 2014. This significant transaction, valued at $3.45 billion in cash (subject to adjustments), marks a strategic shift for MSI, focusing its operations and resources on its core public safety and government solutions. The sale excludes certain assets, including the iDEN infrastructure business, and MSI retains some associated corporate costs. Investors should note that the Enterprise business has already been treated as discontinued operations in prior financial statements, meaning this event primarily formalizes a previously communicated strategic move and a substantial cash infusion into the company.
Key Highlights
- 1Completion of the Enterprise business disposition to Zebra Technologies Corporation for $3.45 billion in cash.
- 2The transaction closed on October 27, 2014.
- 3Certain assets, including the iDEN infrastructure business, were excluded from the sale.
- 4Motorola Solutions will retain certain corporate and general costs historically allocated to the Enterprise Business.
- 5The Enterprise business was previously reported as discontinued operations, with historical financials retroactively reclassified.
- 6The company will not be filing pro forma financial statements for this event due to the prior discontinued operations treatment.
Frequently Asked Questions
Motorola Solutions sold its Enterprise business, which included certain assets and liabilities historically reported as part of that segment. The iDEN infrastructure business was specifically excluded from the sale.
Motorola Solutions received aggregate consideration of $3.45 billion in cash, subject to certain adjustments.
The Enterprise business was already classified as discontinued operations in prior financial reports (e.g., Form 10-Q for the quarter ended June 28, 2014, and a Form 8-K filed on August 7, 2014). Therefore, this 8-K filing primarily confirms the completion of the transaction and does not require new pro forma financial statements in this filing, as the impact is already reflected in historical reclassifications.
This divestiture signifies a strategic focus for Motorola Solutions on its core public safety and government communication solutions, shedding a non-core business segment and generating significant cash proceeds.