Market Overview

UPDATE: Arris Group to Buy Motorola Home Business from Google for $2.35B

Related ARRS
UPDATE: Brean Capital Reiterates On ARRIS Group On Continued Favorable Outlook
Arris, Liwest Pen CCAP Deal to Boost Internet Speed - Analyst Blog
Related GOOG
Will GoPro Inc.'s (GPRO) Earnings Surprise This Season?
5 European Startups That Google Should Fund
The Zillow-Trulia Tie-Up is Less Exciting than You Think (Fox Business)

ARRIS Group, Inc. (NASDAQ: ARRS), a global innovator in broadband media technology, and Google Inc. (NASDAQ: GOOG) today jointly announced that ARRIS and Motorola Mobility, a Google subsidiary, have entered into a definitive agreement under which ARRIS will acquire the Motorola Home business from Motorola Mobility, for $2.35 billion in a cash-and-stock transaction approved by the Boards of Directors of both companies.  The acquisition will be on a cash-free, debt-free basis and is expected to be significantly accretive to ARRIS' Non-GAAP earnings starting in the first full year after closing.

Under the terms of the agreement, upon closing of the transaction, Google will receive $2.05 billion in cash and approximately $300 million in newly issued ARRIS shares, subject to certain adjustments provided for in the agreement, representing an approximately 15.7% ownership interest in ARRIS post-closing.

Acquiring Motorola Home will enhance ARRIS' ability to provide next-generation consumer video products and services, supporting a more comprehensive product offering while also accelerating its ability to deliver a comprehensive set of industry-leading new products for broadband to a wide spectrum of customers.  The transaction will increase ARRIS' patent portfolio and provide a license to a wide array of Motorola Mobility patents. 

Posted-In: News M&A

 

Most Popular

Related Articles (ARRS + GOOG)

Around the Web, We're Loving...

Partner Network

Get Benzinga's Newsletters