Ceragon to Acquire Nera -- Short and Long-haul Microwave Backhaul

Ceragon Networks agreed to acquire Nera Networks AS (NAS), a supplier of long-distance microwave radios, for approximately $48.5 million on a cash-free/debt free basis from Eltek ASA.



Ceragon said the deal offers a long-range radio portfolio, as well as substantial presence in Latin America and Africa, advancing its goal of becoming the leading supplier of wireless backhaul solutions. Nera's geographic focus complements Ceragon's position in Europe, Asia and North America, and adds experienced, professional services staff and capabilities around the world.



Nera Networks, which has its headquarters in Bergen, Norway, traces its history back to 1947. The company has about 800 employees with regional offices in Europe, the Americas, Middle East, Africa and Asia (through Nera Telecommunications Ltd., a separate company listed in Singapore).



The acquisition will be funded through a combination of cash on hand and approximately $35 million of bank debt. The transaction is expected to be accretive on a quarterly basis by the end of 2011.



"This is a very important step for both our companies, and one which will allow us - together - to immediately become the premier microwave backhaul specialist at a crucial juncture for the industry," said Ira Palti, President and CEO of Ceragon Networks.http://www.ceragon.com http://www.neraworld.com