Radvision and Avaya come to definitive merger agreement
A definitive merger agreement between Avaya and Radvision has been reached.
Radvision might have taken advantage of negotiation strategies during business discussions with Avaya that resulted in a definitive merger agreement between the two firms.
Avaya will buy Radvision for $11.85 (£7.56) per share, representing a premium of around 57 per cent over its average closing share price for the 90 days preceding March 14th and equating to a total transaction value of around $230 million.
Radvision stakeholders must approve the deal, which has already been consented to by the board of directors from both enterprises, so in the immediate future it is expected that an extraordinary general meeting of shareholders will be held to discuss the join-up.
Chief executive officer of Radvision Boaz Raviv said: "This strategic merger will now combine two industry leaders with a shared passion and vision for creating the most advanced, fully interoperable, high performance/value and easiest-to-use unified communications solutions."
He gave a presentation during a conference call today (March 15th) and took questions from analysts and institutional investors.
Posted by Ron Maverick
Source: Radvision press release, March 15th