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Aviat Networks Proposes to Acquire Ceragon Networks for $2.80 Per Share in Cash
Proposal represents 51% premium to 60-day volume weighted average trading price of Ceragon stock Would deliver immediate, significant value substantially in
About this update from Aviat Networks, Inc.
[{"type":"text","content":"Proposal represents 51% premium to 60-day volume weighted average trading price of Ceragon stock\nWould deliver immediate, significant value substantially in excess of the value Ceragon can generate as a stand-alone entity\nAs 5% shareholder Aviat calls for extraordinary general meeting of Ceragon shareholders to elect new directors to evaluate proposal\nSchedules conference call for 7:00 p.m. ET on June 27, 2022 to discuss its compelling proposal\nAUSTIN, Texas, June 27, 2022 /PRNewswire/ -- Aviat Networks, Inc. (NASDAQ: AVNW) (\"Aviat\"), the leading expert in wireless transport solutions, today announced it has submitted a nonbinding proposal to acquire all the outstanding shares of Ceragon Networks Ltd. (NASDAQ: CRNT) (\"Ceragon\") that it does not already own for $2.80 per share in cash. Aviat holds more than 5% of Ceragon's outstanding shares as of June 24, 2022, making it Ceragon's third largest shareholder.\nUnder the terms of the proposal, which was delivered to Ceragon's Board of Directors, Ceragon shareholders would receive $2.80 per share in cash, providing them with immediate and certain value. Aviat also remains open to offering a portion of the consideration in Aviat stock to allow shareholders the opportunity to participate in the significant upside of the combined company. The proposal represents a substantial premium of 34% to the closing price of Ceragon shares on June 27, 2022 and a 51% premium to the 60-day volume weighted average trading price of Ceragon shares as of June 24, 2022.\n\"Over the past year, we have sought to engage on numerous occasions with Ceragon's Board and management team to negotiate terms for a transaction that we are confident would deliver meaningful near- and long-term value for shareholders of both companies,\" said Aviat President and CEO Peter Smith. \"We have twice attempted to reasonably address concerns voiced by Ceragon, and have met only with delay and rejection. Along with Aviat's Chairman, I traveled to Israel last week to meet in person with Ceragon's Chairman, CEO, and a member of its Board. They refused to engage with us in constructive discussions, instead making further demands for unorthodox and off-market provisions that seem intended only to delay, leaving us with no other option but to make Ceragon shareholders aware of our proposal.\"\nAviat Chairman, John Mutch e...