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Thursday, January 23, 2014

Lenovo to purchase IBM's low-end server unit for $2.3 bln, (NYSE: IBM)

Chinese PC maker Lenovo Group Ltd agreed to purchase IBM Corp's low-end server business for $2.3 billion in what is set to be China's biggest technology deal.The long-awaited acquisition comes nearly a decade after Lenovo bought IBM's loss-making ThinkPad business for $1.75 billion, eventually becoming the world leader in personal computers in 2012.The sale of the low-end server operation - which still needs U.S. government approval - will allow International Business Machines (IBM) to focus on its decade-long shift to more profitable software and services.IBM said earlier this month that it would spend more than $1.2 billion to build up to 15 data centers on five continents to expand its cloud services and reach new clients and markets.

International Business Machines Corporation (IBM) is an information technology (IT) company. Shares of IBM traded higher by 0.51% or $0.93/share to $183.18. In the past year, the shares have traded as low as $172.57 and as high as $215.90. On average, 5178020 shares of IBM exchange hands on a given day and today's volume is recorded at 2912189.