Opera Software today scrapped plans to sell its entire business to a consortium of Chinese companies and will instead sell to them its consumer browser business.
The original deal, valued at $1.2 billion, would have seen a handful of China-based investment firms take over all of Opera’s businesses. The deal was unable to win government approval in Opera’s home country of Sweden and had to be scrapped. Opera and the firms in question reworked the deal to sell off Opera’s browser business for $600 million.
Under the terms of the deal, the consortium will get Opera’s mobile browser, including versions co-branded by mobile network operators; Opera’s desktop browser, and performance and privacy apps; Opera’s technology licensing business; and Opera’s 29.09% ownership of a nHorizon.
The Chinese investment firms will be allowed to use the Opera brand on these consumer-facing products. Opera Software will hold onto its Opera Mediaworks, Opera Apps & Games, and Opera TV businesses. Opera CEO Lars Boilesen will serve as CEO for both Opera and the divested unit until December 31, after which he will remain with Opera Software.
Opera believes this new transaction will be complete by the end of the third quarter.
