Gateway to sell professional business unit to MPC Corp. - Dallas Business Journal:

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MPC will also acquire the partof Gateway's Consumer Direct unit that targets businesse with less than 100 employees, accordint to a release. Gateway will receive a 19.9 percent equityt stake in MPC Corp. (AMEX: MPZ) when the deal closes, and and MPC will take responsibility for all operations andwarrantyt support, estimated at abougt $60 million, associated with the Gatewag unit, according to a release. The deal is expected to close early in thefourth quarter. The deal includews Gateway's Nashville,Tenn.
-based configuration center, the companh said in a Gateway will also investabout $10 million in MPC in the form of a note of issuancse tied to excess inventory at the Nashville according to a release. A majority of Gateway's professional business segment employees will join MPC and continud to work out ofthe unit's Nortb Sioux City, S.D. facilty. The unit targets government agenices and educational Itgenerated $75 million in gross margi n dollars in the last four quarters, according to a release. Gatewayy agreed to for about $710 million. Irvine-basedc Gateway (NYSE: GTW) is the thirdc largest PC company inthe U.S.