Lucent Buys Xedia
I've been out of IREG for awhile now but thought this news I found on prnewswire might interest you.
Acquisition Adds Next-Generation IP/Virtual Private Network Capabilities to
Expanding Enterprise Data Networking Portfolio
MURRAY HILL, N.J., Aug. 13 /PRNewswire/ -- Lucent Technologies (NYSE: LU)
today said it has agreed to acquire Xedia Corporation, a privately held
developer of high performance Internet access routers for wide area networks,
for about 3.86 million shares of Lucent common stock. Based on Lucent's
closing share price on Thursday, August 12, the transaction would be worth
approximately $246 million.
Lucent expects the transaction to be completed in the quarter ending
December 31, 1999. The merger, which will be accounted for as a pooling of
interests, is expected to be neutral to earnings in fiscal 2000.
Based in Acton, Mass., Xedia(R) supplies high performance routers that
deliver next-generation, Internet Protocol-based Virtual Private Network (VPN)
solutions to corporations and service providers.
"This acquisition fills an important space in our enterprise data
networking portfolio with award-winning products that are absolutely best-in-
class," said Curtis Sanford, president, Lucent's InterNetworking Systems
group. "Xedia's fully integrated Access Point(TM) routing products will give
Lucent a key advantage at the edge of the campus network, where corporations
and service providers are coming together to deliver next-generation services,
such as IP Virtual Private Networks." |
