The unhappy relationship between Seagate Technology Inc and Control Data Corp has taken a turn for the worse with Seagate asking Control Data to return $92.4m, after already receiving a $23.7m adjustment to the $400m it paid for Control Data’s Imprimis Technology: according to Electronic News, Seagate claims that Control Data misrepresented the value of assets, warranties and other items of Imprimis, despite the $23.7m discount agreed to by both parties in October; Control Data describes Seagate’s claim as vastly oversdated, and says that its liability, under the terms of the acquisition agreement, may not exceed $50m; the situation is made more fraught by Control Data’s intention to sell 10.7m Seagate shares, valued at $100m at the time of acquisition.
