Emulex offer for Endace shares dispatched
Emulex’s cash offer of 500 pence per share has been officially dispatched to Endace shareholders.
After making the announcement in early December, the offer has been made under the terms of the New Zealand Takeovers Code.
Using the current exchange rate of 1.62 USD to the Pound Sterling, Emulex says this represents a transaction value of approximately $131 million, a 65% premium to the mid-market closing price per Endace share on December 5 when the offer was announced.
Following the offer, the Endace board has unanimously recommended that all shareholders and optionholders accept the offer.
“We believe that the acquisition provides compelling value and we are committed to proceeding expeditiously to complete the transaction,” says Jim McCluney, CEO, Emulex.
“Acquiring Endace doubles our total addressable market and places Emulex in another high-margin, high-growth market, enhancing our ability to deliver industry-leading solutions to connect, monitor and manage high-performance networks.”
Endace CEO Mike Riley echoed McCluney's views, saying:
“By joining forces with Emulex, we will be able to create a new generation of network visibility solutions and take them to a global marke.
"Endace and Emulex share a common vision and have a strong cultural affinity, making the combination a great fit for both companies.”
The transaction is expected to be completed in the March 2013 quarter, subject to certain closing conditions, including the acceptance of the offer by the holders of 90% of the outstanding shares of Endace.