News
Enterprise services business says it expects deal to close in third quarter, pending shareholder and regulatory approvals.
Mitel has brokered a deal worth US$1.96 billion in cash and stock to acquire conferencing specialist Polycom.
The firm, which provides enterprise and mobile communications services, announced it has entered into a definitive merger agreement that will see it acquire all of Polycom’s outstanding shares.
The merged entity will be headquartered in Ottawa, Canada, and will operate under the Mitel brand. However, Mitel will retain the Polycom brand globally.
"Polycom is one of the most respected brands in the world and is synonymous with the high quality and innovative conference and video capabilities that are now the norm of everyday collaboration," said Mitel CEO Rich McBee, in a statement.
"Together with industry-leading voice communications from Mitel, the combined company will have the talent and technology needed to truly deliver integrated solutions to businesses and service providers across enterprise, mobile and cloud environments," he said.
McBee will lead the merged entity, while Mitel chief financial officer Steve Spooner will also continue in his role. Polycom will take two seats on the merged company’s board on completion of the deal.
Mitel said it expects the transaction to close in the third quarter of this year, subject to shareholder and regulatory approvals.
The combined company will have a workforce of around 7,700 worldwide.
