TAIPEI: Acer said Monday that it planned to acquire the U.S. computer maker Gateway for $710 million, a move that would push the Taiwanese company past Lenovo of China as the world's third-largest vendor of personal computers.

Acer said it was offering to buy Gateway for $1.90 a share in a deal expected to close by December, pending regulatory approvals in Taiwan and the United States.

The offer price represents a premium of 57 percent to Gateway's Friday closing price of $1.21. Gateway traded at $81.50 in 1999. Gateway shares jumped nearly 49 percent, or 59 cents, to $1.80 Monday afternoon in New York.

The acquisition has been unanimously approved by the boards of directors of both Gateway and Acer and is subject to standard closing conditions, the companies said.

The deal will create a multibranded computer company with over $15 billion in revenue and shipments exceeding 20 million units per year, Acer said.

“This strategic transaction is an important milestone in Acer's long history,” said J.T. Wang, Acer's chairman, in a statement. “This will be an excellent addition to Acer's already strong positions in Europe and Asia.”

Ed Coleman, chief executive of Gateway, welcomed the buyout.

“Joining with Acer will enable us to bring even more value to the consumer segments we serve and capitalize on Acer's highly regarded supply chain operations and global reach,” he said.

In the second quarter, Acer was the world's fourth-largest PC maker behind Hewlett-Packard, Dell, and Lenovo, according to the research company Gartner. Gateway, based in Irvine, California, is the third-largest PC vendor in the United States by market share after Hewlett-Packard and Dell.

Asustek plans low-cost laptop

Asustek Computer, a leading Taiwanese computer maker, announced Monday that it would begin offering a low-price computer next month, becoming one of the first companies marketing an ultramobile product for the developing world, The Associated Press reported.

Created in conjunction with Intel, the Asustek laptop with a 7-inch screen will also come in a more sophisticated model that will target the developed world, said Jonney Shih, the company chairman.

“It will be a laptop that's easy to learn, easy to play and easy to work with,” Shih said during an interview.

A basic model will have a retail price of $199, while one with more features will sell for $245 to $299, he said.

The laptop will use the Linux operating system and carry the ASUS brand.

Intel and the nonprofit organization One Laptop Per Child have been working to bring inexpensive laptops to the most remote corners of the developing world.

Some analysts expect the ASUS laptop to sell well in the developed world because of its mobility and ease of use.