Motorola Solutions transfers 220 workers
Schaumburg-based Motorola Solutions is transferring about 220 workers -- including 95 in Schaumburg -- with the sale of two business units to a private equity firm.
Motorola Solutions announced Tuesday that it has agreed to sell its Point-to-Point and Point-to-Multipoint Wireless Broadband Networks businesses to San Francisco-based Vector Capital.
The companies did not release the financial terms of the transaction. The deal could close as early as late September. The units provide solutions to the wireless industry to provide faster delivery of broadband. Much of that equipment is used for residential and business customers.
"The workers are expected to transfer to the new company and the Schaumburg workers are expected to remain in the area," said Motorola Solutions spokeswoman Tama McWhinney.
Vector Capital intends to operate the businesses as a single stand-alone company called Cambium Networks that will increase its workforce and focus heavily on research and development, said Vector principal Rob Amen.
"We're going to allow them to operate more flexibly and more nimbly," Amen said.
Vector is looking for a new office in the Schaumburg area, he said.
In the meantime, Motorola Solutions will allow the Cambium workers to continue to operate on its Schaumburg campus for up to nine months after the close of the deal to help with the transition, Amen said.
Also, Motorola Solutions plans to continue to purchase products from Cambium Networks to meet the broadband needs of its key direct public safety and federal accounts.
"Vector has deep experience restoring focus and accelerating growth at noncore divisions of the largest global technology companies," Alex Slusky, managing partner at Vector Capital, said in a statement. "We will enable the Cambium management team to build the leading independent provider of PTP and PMP solutions. We are committed to taking great care of customers and creating future opportunities for the employees of the new Cambium Networks."
Meanwhile, at Motorola Mobility, the Internet was buzzing on Tuesday when Nomura Equity Research analyst Stuart Jeffrey said it's "inevitable" that Google will close the Libertyville-based company's cellphone-making operations and just keep the 17,000 patents. The report also was picked up by the Tech Trader Daily blog on Tuesday.
Google announced last Monday that it would acquire Motorola Mobility for $12.5 billion. At the time, local officials said they were assured the Mobility employees would stay in Libertyville.
The deal could close later this year or early 2012.