Just two months after it announced Apple would no longer need its services, Imagination Technologies Group plc has put itself up for sale. In April, the company announced it would not supply Apple with graphics, which sent its stock plummeting. The 32-year-old organization knew the loss of its Apple partnership may trigger its demise.
Following the Apple decision, Imagination Technologies intended to sell off two of its prime business divisions. The embedded microprocessor MIPS and the wireless provider Ensigma were rumored to be sold, but that was not the case. Originally thought to shed some of its segments, Imagination quickly announced the sale of the entire company instead.
The organization has acknowledged that the sales of MIPS and Ensigma are still ongoing, but the total transaction appears to be a much bigger process. While deals may have been offered for those two sectors months ago, the company’s stock has fallen so much, it made a full sale inevitable. Imagination’s shares lost nearly 70 percent since the departure of Apple as a colleague. The American technology leader was the source of about half of Imagination’s entire revenue.
A completed purchase of Imagination seems likely in the near future as the company has already sparked the interest of several business tycoons. Imagination reported earnings of $120 million last year. The UK business claimed to be one of the most valuable technology providers in the industry just five years ago.
Several large enterprises have expressed enthusiasm in purchasing Imagination; even Apple has a rumored fascination in the company. CEO Tim Cook and company currently own a 9.5% stake in Imagination. In addition to the stake, Apple uses the company’s property for its iPhone, iPod, iPad, and Apple TV products.
Imagination Technologies has been an innovator in technology since its inception in 1985. Originally dubbed VideoLogic, the company has focused on mobile graphics, electronics, and radio baseband processing for the better half of the new millennium. In just over ten years, Imagination has acquired notable enterprises such as HelloSoft, Caustic Graphics, and Toumaz Microsystems. The entire company was officially put up for sale on June 22nd.