Ottawa-based Mitel, a global leader in business communications, has announced that it has entered into a merger agreement with Mavenir Systems, a leading provider of software-based networking solutions for mobile carriers. Mitel will buy up all of the outstanding shares of Mavenir common stock in a cash and stock deal for approximately $560 million.
The merger is expected to create a global leader in converged IP communications for enterprises, service providers and mobile operators, solidifying comprehensive portfolio of unified communications (UCC) and rich communications services (RCS) across fixed and mobile environments.
- Mavenir, a leader in 4G LTE mobile solutions, has a number of commercial deployments with tier 1 service providers,, including deployment of Voice over LTE (VoLTE) and RCS5 with MetroPCS (now T-Mobile), IMS-based VoWi-Fi (Wi-Fi calling) with T-Mobile US and Virtualized RCSe with Deutsche Telekom.
Mitel is a leader in enterprise and cloud communications, markets in which mobility is becoming increasingly influential. With wireless adoption of IP and 4G LTE and demand for next gen mobile services ramping quickly, we see a compelling opportunity to capitalize on a major market transition to add a high-growth mobile business to Mitel. We believe the combination of Mitel and Mavenir creates a powerful new value proposition for enterprises and mobile service providers, using a common IP technology layer as the foundation for convergence, growth and competitive differentiation.
The move to all-IP LTE mobile networks has created a unique opportunity for service providers to leverage a converged all-IP network to offer feature-rich business and consumer communication services to any device, anywhere, on any access network. We believe that the combined company is ideally positioned to capitalize on the trends within the communications industry today; namely, the convergence across enterprise and mobile networks to all-IP technologies, and the transition to cloud-based unified communications telephony and software-defined virtualized infrastructure.
