Mitel Networks To Acquire Mavenir Systems In Cash And Stock Deal - Quick Facts

(RTTNews) - Mitel Networks Corp. (MITL, MNW.TO) and Mavenir Systems (MVNR) announced a merger agreement in which Mitel will acquire all of the outstanding shares of Mavenir common stock in a cash and stock deal valued at approximately $560 million. Mitel will commence an exchange offer pursuant to which Mavenir stockholders will be entitled to elect to receive either all-cash or all-stock consideration for each share of Mavenir common stock, subject to proration, in either case with a value of $11.08 plus 0.675 of a Mitel common share, or $17.94, based on the closing price of a Mitel common share on February 27, 2015.

Mavenir Systems provides software-based mobile networking solutions that enable service providers to deliver next generation services over 4G LTE networks. It has an established footprint of over 130 mobile customers including 15 of the top 20 mobile carriers worldwide. With the acquisition of Mavenir, Mitel expects to expand its total addressable market by approximately $14 billion by 2018.

Mitel Networks also announced that, certain of Mavenir's significant stockholders, who collectively hold approximately 45% of the outstanding shares of Mavenir common stock, have entered into tender support agreements with Mitel pursuant to which they have agreed to tender their shares to Mitel's offer. The transaction will not require approval of Mitel's shareholders and is expected to be completed in the second quarter of 2015.