Motorola buys UK-based Psion for $200m

UK rugged laptop vendor sold abroad in cash deal

UK-headquartered ruggedised mobile computing specialist Psion has been sold to US mobility giant Motorola for $200m (£128m) in cash.

Motorola Solutions released an announcement this afternoon, saying it is purchasing all Psion shares for $1.36 each.

John Hawkins, chairman of Psion, said the firm's directors have unanimously recommended the Motorola offer.

"The price... offers a significant cash premium to both the current and recent market prices," Hawkins said. "Psion continues to deliver on its strategy of introducing exciting products while strictly managing the cost base."

He went on to say that Psion's shareholders are by this deal getting certainty "in an environment where certainty is in short supply".

No announcement has been made concerning Psion's UK channel.

Greg Brown, chairman and chief executive of Motorola Solutions, said the deal is a chance for the firm to strengthen its portfolio.

"Ruggedised handheld products and vehicle-mount terminals will deepen our presence in the global markets where we compete," Brown said in a statement.

Psion's headquarters are in London, although it has operational presence in Toronto, Canada. The company was formed in 1980 and has 830 staff. In 2011, it declared revenue of £176m. It will now be part of Motorola's Enterprise Mobile Computing business led by Girish Rishi.