- Sonus (SONS +0.7%) is acquiring Performance Technologies (PTIX +24.3%), a player in the fast-growing 4G diameter signaling software space, for $3.75/share in cash, or $30M net of cash on hand and acquisition-related costs. The price represents a 24% premium to PTIX's Thursday close. (PR)
- The acquisition allows Sonus to address another fast-growing telecom software market, albeit one where it'll face plenty of competition - F5, Oracle, Ericsson, Alcatel-Lucent, and Huawei are some of the other firms with diameter signaling offerings. Sonus has already been offsetting soft demand for its mainstay VoIP gateways by growing session border controller sales.
- The deal is expected to close in Q1 2014. Sonus sees it diluting 2014 EPS by $0.02 or less, but being accretive to 2015 EPS.
Sonus buying Performance Technologies for $30M
Dec 13 2013, 09:58 ET