Sonus Networks, Inc. Announces Completion of Sonus and GENBAND Mergers
octobre 2017 par Marc Jacob
Sonus Networks, Inc. announced the completion of the Sonus and GENBAND mergers following which each became a wholly owned subsidiary of a parent company formed for purposes of the transaction and renamed Sonus Networks, Inc.
In connection with closing the transaction, Sonus Networks also announced that, effective today, it has begun conducting business as Ribbon Communications. The company will continue to trade on the Nasdaq Global Select Market under the ticker SONS until its new corporate name (Ribbon Communications Inc.) and its new ticker symbol (RBBN) become effective, which is anticipated to be by the end of 2017.
The transaction is a merger of equals and former Sonus and GENBAND shareholders each own approximately 50% of the parent company, which had approximately 102 million shares outstanding post close. GENBAND’s former equity holders also received a $22.5 million unsecured note as part of the transaction consideration. The transaction is expected to be substantially accretive to the combined company’s earnings per share in 2018. The combined company is expected to realize annual cost synergies of $40 million to $50 million in 2018 and to drive solid cash flow from operations in the first year after closing.