ARRIS completed its previously-announced acquisition of the Ruckus Wireless and ICX Switch business from Broadcom.
When the deal was first announced in February 2017 the announced price was $800 million in cash, plus the additional cost of unvested employee stock awards, following the closing of Broadcom's acquisition of Brocade.
Ruckus Networks will operate as a dedicated business under Enterprise Networks. Its target vertical markets span hospitality, education, government, service providers, multi-dwelling / tenant units, sports / entertainment venues, and transportation centers. ARRIS said another opportunity for Ruckus is the small-cell CBRS LTE market.
Dan Rabinovitsj—previously COO of Ruckus Wireless—will lead a new ARRIS Enterprise Networks business segment.
The business will focus on the delivery of innovative, high-performance wireless and wired network infrastructure, with a robust channel-led sales strategy.
"This combination underscores our shared vision of achieving market leadership across wireless and wired networks in close partnership with our valued customers and channel partners," said Dan Rabinovitsj, President of ARRIS Enterprise Networks. "We're very excited about the collaboration opportunities across our product portfolios to enable connectivity from the office to the home and to all the places in between. Joining ARRIS means we still do what Ruckus does best, but on a larger, global scale. I'm excited to lead the Ruckus Networks team into our next stage of growth and innovation."
"I'm proud to welcome the 1,700 talented Ruckus Wireless and ICX Switch Business employees into the ARRIS family," said Bruce McClelland, ARRIS CEO. "It's an important milestone, not only for ARRIS but for our industries. Ruckus' unmatched expertise in wireless and wired networking perfectly complements our growth strategy of driving towards a constantly connected, mobile future. The acquisition brings diversification to our portfolio, building on our strength in networking and helping us to serve new verticals. Ultimately, our combined portfolios and scale will help our customers and partners deliver a smart, simple connected world for billions of people."
Broadcom completes Brocade acquisition - one year since bid
ARRIS to Acquire Ruckus Wireless and ICX Switch Business for $800M from Brocade
ARRIS agreed to acquire Brocade Communication Systems' Ruckus Wireless and ICX Switch business for $800 million in cash, plus the additional cost of unvested employee stock awards, following the closing of Broadcom's acquisition of Brocade.ARRIS expects the acquisition to be accretive to its Non-GAAP earnings per share in the first 12 months. The deal is contingent on Broadcom closing its acquisition of Brocade, previously announced on November 2, 2016 and approved by Brocade shareholders on January 26, 2017. Broadcom presently expects to close the Brocade acquisition in its third fiscal quarter ending July 30, 2017.
Brocade to Acquire Ruckus Wireless for $1.5 Billion
