- Video Conferencing
- Media Technology
Cisco today announced a bid to acquire TANDBERG, the world market leader in telepresence and HD video conferencing systems. By doing so, Cisco is pursuing their aim of expanding their collaboration portfolio, targeting more customers with a more comprehensive range, and accelerating their global market penetration.
Cisco is offering 153.50 Norwegian Kroner each for all outstanding shares. This is an increase of 11 percent on the closing price at the end of the previous day’s trading, and a 25.2 percent increase on the three month average. The takeover bid therefore amounts to a total of around three billion US dollars. The TANDBERG board of directors has already accepted the offer. The takeover is expected to be complete by summer 2010. However, the precise date will depend partly on having received approval from competition authorities. The purchase is expected to have a positive impact on Cisco profits from the 2011 financial year.
“Cisco and TANDBERG share the same corporate culture and the vision to transform global cooperation through video communications technology,” says John Chambers, chairman of the supervisory board and CEO at Cisco. “The market volume is already 34 billion US dollars, and thanks to networked web 2.0 technologies, it is continuing to grow. The acquisition is a perfect example of our financial strength and ability to identify crucial market developments and to use them for further growth.”
“Both companies want to transform global collaboration and communication between people,” says Frederik Halvorsen, CEO of TANDBERG. “The takeover bid is a sign of trust, not only in the TANDBERG brand, but also in our technology and employees. The consolidation of worldwide trendsetting technologies, Cisco’s global orientation and the excellent employees at both companies will drive innovation and further strengthen our market position.”
TANDBERG is the world market leader in the fields of telepresence, HD video conferencing systems, mobile video communications solutions and associated services. The company develops, produces and sells video conferencing systems and the corresponding software and infrastructure. TANDBERG provides sales, technical support and services in over 90 countries worldwide, helping organisations to use visual communications methods efficiently. The company has dual headquarters in New York and Norway, and is listed on the Oslo Stock Exchange under the abbreviation TAA.OL. For more information about TANDBERG, please visit www.tandberg.de..
Cisco Systems, Inc., based in San Jose, California, is the world’s leading supplier of networking solutions for the Internet. More information can be found at http://www.cisco.com.. For ongoing news, please go to http://newsroom.cisco.com.
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