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Wednesday, July 16, 2003
Imation To buy EMTEC data tape operations

Minnesota-based Imation announced plans to purchase the data tape manufacturing facilities and related intellectual property from EMTEC Magnetics GmbH of Germany, the former tape media giant which declared insolvency earlier this year.

The purchase, Imation said, will enable the company to ensure worldwide availability of half-inch data tape products such as 3480, 3490E and 9490EE cartridges.

According to a report from industry consultancy MMIS, Imation plans to dismantle EMTEC's Willstätt, Germany data tape operation and move the equipment to one or more of its plants in the U.S. Subject to regulatory approvals, the company expects the transaction to close in the fourth quarter of 2003.

In additon, EMTEC's U.S. sales subsidiary has announced it is going out of business. Valencia, CA-based EMTEC Multimedia, which supplies tape products to recording studios, audio and video cassette duplicators, and data centers, expects to close its offices in September following the sell-off of its remaining inventory and the collection of outstanding receivables.

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