financetom
Business
financetom
/
Business
/
Keysight outbids rival Viavi to buy UK's Spirent for $1.5 billion
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
Keysight outbids rival Viavi to buy UK's Spirent for $1.5 billion
Mar 29, 2024 1:00 AM

March 29 (Reuters) - Keysight Technologies ( KEYS )

outbid rival Viavi Solutions ( VIAV ) to buy Spirent

Communications ( SPNUF ) for about 1.16 billion pounds ($1.46

billion) on Thursday, winning a battle over the UK telecoms

testing firm's expertise in automation.

Shares in London-listed Spirent were up 10.6% to 198.0 pence

as of 0957 GMT. Electronic equipment maker Keysight ( KEYS ) offered

201.5 pence per share, topping Viavi's 175 pence bid in early

March.

Spirent possesses capabilities in software, cloud, and

automation technologies as next-generation communication

networks including 6G become increasingly software-based, driven

by advances in areas such as artificial intelligence and machine

learning.

Spirent, which had earlier agreed to a deal with Viavi,

withdrew its support as it was 15% lower than the Keysight ( KEYS )

offer.

"Following my discussions with the Keysight ( KEYS ) management team,

I am excited about the broader reach and expanded long-term

prospects for Spirent arising from the combination with

Keysight ( KEYS )," Spirent CEO Eric Updyke said.

Keysight's ( KEYS ) offer represents a premium of 85.9% to Spirent's

closing price of 108.4 pence on March 4, higher than Viavi's

61.4% premium.

Viavi said on Friday that its offer for Spirent

represented "certain value" and added that Keysight's ( KEYS )

acquisition would further "entrench" its position in many

product segments and lead to customer choices being limited.

In early March, Viavi had agreed to buy Spirent for about

1.01 billion pounds.

Spirent has more than 1,500 employees, and serves about

1,100 customers in over 50 countries. Keysight's ( KEYS ) deal would lead

to headcount reductions of less than 5% across the combined

group, it said in a statement.

Deal activity has picked up this year, with several UK

companies becoming the target of takeovers from more than one

interested buyer. This includes UK packaging giant DS Smith ( DITHF )

, logistics firm Wincanton ( WNCNF ) and electricals

retailer Currys ( DSITF ).

($1 = 0.7922 pounds)

(Reporting by Prerna Bedi and Yadarisa Shabong in Bengaluru;

Additional reporting by Rishabh Jaiswal; Editing by Janane

Venkatraman, Jason Neely and Mrigank Dhaniwala

)

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Natural Gas Rises as Forecasts See Colder Weather Lingering Over Eastern States
Natural Gas Rises as Forecasts See Colder Weather Lingering Over Eastern States
Nov 29, 2024
09:20 AM EST, 11/29/2024 (MT Newswires) -- Natural gas traded higher early on Friday as cold weather in eastern markets increases heating demand. Gas for January delivery was last seen up US$0.12 to US$3.32 per million British thermal units. The rise comes as long-term forecasts from the National Weather Service see colder than seasonal temperatures continuing for states east of...
Apple Set for 'New Era' of Growth Amid AI Features Launch Ahead of Holiday Season, Wedbush Says
Apple Set for 'New Era' of Growth Amid AI Features Launch Ahead of Holiday Season, Wedbush Says
Nov 29, 2024
09:25 AM EST, 11/29/2024 (MT Newswires) -- Apple ( AAPL ) is poised for a 'new era' of growth with the upcoming launch of the company's updated artificial intelligence features for iPhone 16 ahead of the key holiday season, Wedbush Securities said in a Friday client note. The technology giant is expected to release its latest 18.2 operating system update...
Mainz Biomed to Implement 1-for-40 Reverse Stock Split
Mainz Biomed to Implement 1-for-40 Reverse Stock Split
Nov 29, 2024
09:21 AM EST, 11/29/2024 (MT Newswires) -- Mainz Biomed ( MYNZ ) said Friday it is implementing a one-for-40 reverse stock split of its common stock, effective Dec. 3, following the board's decision on Nov. 20. No fractional shares will be issued. Instead, Mainz Biomed ( MYNZ ) will pay cash depending on the value of the fractional shares, the...
Why Is Spanish Healthcare Grifols Stock Trading Lower On Friday?
Why Is Spanish Healthcare Grifols Stock Trading Lower On Friday?
Nov 29, 2024
On Wednesday, Grifols SA ( GRFS ) said it ended discussions with Brookfield Capital Partners (UK) Limited about a potential acquisition. This decision follows the company’s November 19 statement rejecting Brookfield’s indicative offer to acquire Grifols ( GRFS ) for 6.45 billion euros ($6.81 billion) or 10.50 euros per Class A share. Canadian fund Brookfield said it had dropped its plan...
Copyright 2023-2026 - www.financetom.com All Rights Reserved