Avaya Inc. today said it has completed the sale of essentially all of its Connectivity Solutions (ACS) business to...
February 2, 2004
Avaya Inc. today said it has completed the sale of essentially all of its Connectivity Solutions (ACS) business to CommScope Inc.
The sale of certain remaining international operations will be completed later this year. The agreement was announced on October 27, 2003.
The total purchase price consists of US$250 million in cash, subject to post-closing adjustments, and approximately 1.8 million shares of CommScope common stock.
The total purchase price for the ACS business was adjusted to reflect a higher cash payment, fewer shares of CommScope common stock and a lower level of assumed liabilities by CommScope than previously announced.
At the time that the agreement between CommScope and Avaya was announced, the shares were valued at US$22.9 million, and at the close of business on January 30, 2004 they were valued at US$32.8 million.
In addition, CommScope will assume up to US$65 million of specified liabilities, primarily related to employee benefits.
Approximately 2,000 people work for Connectivity Solutions primarily in manufacturing facilities in Omaha, Nebraska, Bray, Ireland and Brisbane, Australia. The business has administrative offices in Richardson, Tex.