RIL to acquire telecom technology provider Radisys
30 June 2018
Radisys Corporation, a global provider of open telecom technologiesand Reliance Industries Limited have entered into a definitive agreement under which Reliance will acquire Radisys for $1.72 per share in cash amounting to Rs500 crore.
Radisys reported revenue of $133.77 million for 2017, compared with $212.4 million the year before and $184.6 million for 2015.
Radisys is a provider of open telecom solutions to service providers worldwide. Headquartered in Hillsboro, Oregon, Radisys has nearly 600 employees with an engineering team based in Bangalore, Radisys India Pvt. Ltd, and sales and support offices globally. Radisys delivers value to service providers and telecom equipment vendors by providing disruptive open-centric software, hardware and service capabilities that enable the migration to next-generation network topologies.
RIL said that this acquisition further accelerates Jio’s global innovation and technology leadership in the areas of 5G, IOT and open source architecture adoption. “Reliance and Jio have been disrupting legacy business models and establishing new global benchmarks. Radisys’ top-class management and engineering team offer Reliance rapid innovation and solution development expertise globally, which complements our work towards software-centric disaggregated networks and platforms, enhancing the value to customers across consumer and enterprise segments,” said Akash Ambani, Director of Reliance Jio.
Brian Bronson, CEO of Radisys said, “The backing and support of India-based global conglomerate Reliance, will accelerate our strategy and the scale required by our customers to further deploy our full suite of products and services. The Radisys team will continue to work independently on driving its future growth, innovation and expansion. The addition of Reliance’s visionary leadership and strong market position will enhance Radisys’ ability to develop and integrate large-scale, disruptive, open-centric end-to-end solutions.”
The deal, subject to regulatory and other necessary clearances, is expected to close in the fourth quarter of 2018.