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

ARRISGroup, Inc. (NASDAQ: ARRS), a global innovator in broadband media technology,and Google Inc. (NASDAQ: GOOG) today jointly announced that ARRIS and MotorolaMobility, a Google subsidiary, have entered into a definitive agreement underwhich ARRIS will acquire the Motorola Home business from Motorola Mobility,for $2.35 billion in a cash-and-stock transaction approved by the Boards ofDirectors 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 willreceive $2.05 billion in cash and approximately $300 million in newly issuedARRIS 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-generationconsumer video products and services, supporting a more comprehensive productoffering while also accelerating its ability to deliver a comprehensive set ofindustry-leading new products for broadband to a wide spectrum of customers. The transaction will increase ARRIS' patent portfolio and provide a license toa wide array of Motorola Mobility patents.