Pace unable to agree with Google over Motorola Home takeover

TV decoder maker Pace, which was suspended from trading last week pending the potential 'reverse takeover' of Google's Motorola Home business, has said that it was unable to reach an agreement with the US search engine giant.

"Accordingly, Pace has contacted the Financial Services Authority to request that the suspension of its securities from the Official List is lifted without delay. Pace expects the suspension to be lifted shortly," the firm said.

Pace said on December 10th that discussions with Google were at a preliminary stage but, seeing as though the potential purchase would be regarded as a "reverse takeover" under the UK Listing Rules given its size relative to Pace, the shares were suspended.

MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up

"We viewed the potential acquisition of Google's Motorola Home business as an opportunity to accelerate our stated strategy, but only if real shareholder value could be delivered," said Pace's Chief Executive Officer Mike Pulli.

"Although we had the support of our major shareholders and committed facilities, we could not reach an appropriate conclusion to the potential transaction."