Sonus Networks Inc. has completed the acquisition of Performance Technologies Inc., which does business as PT.
The companies in December entered into a merger agreement that said Sonus Networks would acquire the global supplier of advanced network solutions for $3.75 a share in cash, or roughly $34 million.
The acquisition was unanimously approved by the boards of directors of each company. Shareholders of Performance Technologies also approved of the transaction.
“We welcome the PT team, who brings invaluable expertise and a rock-solid diameter signaling product to Sonus,” said Raymond Dolan, Sonus president and CEO. “The combination of Sonus and PT allows us to bring together unique and complementary technologies in wireless and wireline network intelligence, which is anticipated to expand our addressable market by 50 percent and advance our mobility and virtualization strategies.”
The merger gives Sonus Networks the ability to expand its portfolio, strengthen its addressable market, and use complimentary assets such as PT’s SEGway Universal Diameter Routers and SS7 Signaling Systems, officials said. Sonus plans to expand its addressable market from $2 billion to $3 billion by 2017.
The company employs roughly 114 people, with 60 employees in Rochester.
Sonus Networks is slated to report its fourth quarter and full year results Thursday.
Shares of Sonus Networks (Nasdaq: SONS) were trading at $3.37 midday Wednesday, up more than 2 percent from Tuesday’s close of $3.30.
(c) 2014 Rochester Business Journal. To obtain permission to reprint this article, call 585-546-8303 or e-mail [email protected]