Business
VIAVI Solutions Agrees to Acquire Spirent Communications to Create a Leading Provider of Test, Assurance and Security Solutions for Research and Development Labs, Service Providers, Data Centers and Mission-Critical Infrastructure
Highly complementary and synergistic product portfolios to enable delivery of high-performance, integrated solutions for networking and mission-critical
About this update from Viavi Solutions Inc.
[{"type":"text","content":"\n\nHighly complementary and synergistic product portfolios to enable delivery of high-performance, integrated solutions for networking and mission-critical applications, including 5G and 6G wireless infrastructure\n\n\n\nComplementary nature of products and technologies to provide diversification and accelerated growth in attractive, adjacent verticals, such as cloud service providers, enterprise/IT networks, 5G private networks, 6G+ and positioning, navigation and timing verticals\n\n\n\nGreater engineering, research and development and design capabilities to accelerate new technology development and product innovation, in particular with regard to artificial intelligence and machine learning, security, cloud-native architecture and automation\n\n\n\nOperational efficiencies anticipated to result in annual run-rate cost synergies of up to $75 million approximately two years after the completion of the Acquisition\n\n\n\nAnticipate utilizing US net operating losses to lower the combined group’s blended non-GAAP tax rate\n\n\n\nSilver Lake to make $400 million long-term strategic investment in VIAVI Solutions in connection with the Acquisition\n\n\n\n CHANDLER, Ariz. & LONDON--(BUSINESS WIRE)--\nVIAVI Solutions (“VIAVI”) (NASDAQ: VIAV), a leading provider of communications test, measurement and optical technologies, and Spirent Communications plc (“Spirent”) (LSE: SPT), a global provider of automated test and assurance solutions for networks, cybersecurity and positioning, today announced an agreement on the terms of a cash offer for Spirent which the Spirent Board intends to unanimously recommend (the “Acquisition”). The Acquisition price values Spirent at approximately £1,005 million, or $1,277 million based on the British pound sterling to U.S. dollar exchange rate on March 4, 2024.\n\n\nUnder the terms of the Acquisition, Spirent Shareholders will receive 172.5 pence per Spirent share in cash (the Acquisition price). Spirent Shareholders will also receive a special dividend of 2.5 pence per Spirent share in lieu of a final dividend for the year ended December 31, 2023. The Acquisition is expected to close during the second half of 2024, subject to shareholder approvals and other customary closing conditions, including Spirent Shareholder approval and certain regulatory closing approvals. The Spirent Directors who hold shares...