Kapsch CarrierCom to acquire Nortel’s GSM Business for EMEA and Taiwan and Nortel’s GSM-R business globally
25.11.2009, 11:43
Vienna (Austria) 25 November (PROTEXT/ots) - Kapsch CarrierCom yesterday was announced as winning bidder in the auction process initiated by Nortel for substantially all of the Carrier Networks division of Nortel relating to the GSM business in EMEA and Taiwan and the global GSM-R business. The purchase is structured as an asset sale with a cash purchase price of USD 33 million on a cash and debt free basis, subject to adjustments. The transaction is subject to court approvals in the U.S. and Canada, which will be sought at a joint hearing on December 2, 2009, and in France as well as regulatory approvals and certain other customary closing conditions.
Kapsch CarrierCom submitted a joint bid with Ericsson. Under the agreement, Ericsson will acquire substantially all of Nortel’s GSM business in North America. Kapsch CarrierCom will purchase substantially all of the remaining global GSM business and the global GSM-R business, taking over approximately 330 employees from Nortel.
"We have worked closely with Nortel in the GSM/GSM-R business for more than 20 years. This acquisition transforms Kapsch CarrierCom from a regional player to the global market leader in GSM-R," said Thomas Schöpf, COO of Kapsch CarrierCom.
"The combined businesses will provide a strong international platform for our enhanced global business strategy," Ingolf Planer, CFO of Kapsch CarrierCom added.
Latham & Watkins is acting as Kapsch CarrierComs’s legal advisor on this transaction.
About Kapsch CarrierCom AG
Kapsch CarrierCom AG, part of the Kapsch Group, specializes in voice and data communications solutions for fixed and mobile network providers. Kapsch CarrierCom addresses the full spectrum of the operator’s requirements: from analysis, consulting, design, product development, integration, installation, training to the maintenance and operation of complete networks.
For more information:
Brigitte Herdlicka
Kapsch Gruppe
Public Relations
Tel.: +43 (0)50811 1710
E-mail: brigitte.herdlicka@kapsch.net
www.kapschcarrier.com
www.kapsch.net
Mag. Hans-Georg Mayer
Kapsch CarrierCom AG
PR & Communications
Tel.: +43 (0)50811 3664
E-mail: hans-georg.mayer@kapsch.net