Mergers & Antitrust Law News

Google to Buy Fitbit for $2.1 Billion to Boost Hardware (2)

Nov. 1, 2019, 1:06 PMUpdated: Nov. 1, 2019, 2:07 PM

Alphabet Inc.’s Google agreed to buy smartwatch maker Fitbit Inc. for $2.1 billion in cash, a move that could shore up the internet giant’s hardware business while also potentially increasing antitrust scrutiny. Fitbit shares jumped 16%.

Google will pay $7.35 a share for San Francisco-based Fitbit, according to a statement Friday. That represents a 71% premium to Fitbit’s stock price before Reuters reported Google had made a bid on the company on Oct. 28. The acquisition is Google’s second major purchase this year, after it agreed to pay $2.6 billion for cloud software provider Looker in June.

The deal...

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