Gateway Sells Professional Business

Irvine-based Gateway, Inc. said early Wednesday that it sold the firm's Professional business segment to MPC Corporation, in a deal worth approximately $90M in stock. Gateway's Professional business provided products targeted at businesses, government agencies, and educational institutions. Gateway said that the sale would allow it to concentrate on its consumer business. According to the computer manufacturer, a "significant portion" of its Gateway Professional employees will join MPC, and that MPC will continue to operate its North Sioux City, SD facility. In addition, MPC will assume responsibility for operations and warranty support for the firm's Professional business. MPC reported that Gateway's Professional segment had revenues of approximately $900M in 2006.