Investors snub Acer's bid for Gateway

Simon Yang (楊勝帆), a manager of private industry think tank Topology Research Institute (拓墣產業研究), was more optimistic and hailed the takeover, describing it as a smart move to keep it one step ahead of Lenovo.

"Acer won in the race against Lenovo in winning the bride," Yang said, referring to Packard Bell.

Earlier, China's state media reported that the bid by Lenovo to buy Packard Bell would probably fail due to the acquisition by Acer of Gateway.

Gateway would exercise its right of first refusal to buy Paris-based PB Holding Co, the parent company of Packard Bell, the reports said.

That will prevent John Hui (許立信), a major shareholder of Gateway who bought Packard Bell from Japan's NEC last year, from selling Packard Bell to Lenovo, the Shanghai Securities News said.

Shares of Lenovo sank 6.7 percent to close at HK$5.13 in Hong Kong yesterday.