Yesterday we heard that Google were purchasing smartphone and tablet maker Motorola Mobility for $12.5 Billion , of course the deal hasn’t gone though yet and there are number of things which could stop it going ahead.
It the deal doesn’t go through, and Google decides not to purchase Motorola, they will have to pay Motorola a massive $2.5 billion break up fee, probably the largest break up fee, and Google must be confident that the deal will go through to have agreed such a high fee.
If Motorola decides that they want to pull out of the deal, they will have to pay Google a break up fee of $375 million, which is a lot lower than the Google one, and different to most deals where buyers and sellers agree to pay similar fees.
Source Bloomberg
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