Cisco (CSCO) Makes Another Large Acquisition, Buys Starent Networks (STAR) for $2.9 Billion
Cisco (Nasdaq: CSCO) announced an agreement today to acquire Starent Networks (Nasdaq: STAR) for $35 per share, or about $2.9 billion. Starent clsoed at $29.03 on Monday.
Starent Networks is a leading supplier of IP-based mobile infrastructure solutions targeting mobile and converged carriers and the acquisiton expands Cisco's mobile internet offers for service providers.
The acquisition is expected to close during the first half of calendar year 2010; however, the close date is subject to customary closing conditions and regulatory reviews.
Cisco expects the acquisition to be dilutive to non-GAAP earnings in fiscal years 2010 and 2011 and accretive to non-GAAP earnings in fiscal year 2012.
This is Ciscos' second large acquistion in as many weeks. On October 1st, Cisco acquired TANDBERG for $3 billion.
Starent Networks is a leading supplier of IP-based mobile infrastructure solutions targeting mobile and converged carriers and the acquisiton expands Cisco's mobile internet offers for service providers.
The acquisition is expected to close during the first half of calendar year 2010; however, the close date is subject to customary closing conditions and regulatory reviews.
Cisco expects the acquisition to be dilutive to non-GAAP earnings in fiscal years 2010 and 2011 and accretive to non-GAAP earnings in fiscal year 2012.
This is Ciscos' second large acquistion in as many weeks. On October 1st, Cisco acquired TANDBERG for $3 billion.
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