Alcatel Lucent receives EUR 268m binding offer from China Huaxin for Alcatel-Lucent Enterprise and enters into exclusive discussions
Alcatel Lucent is announcing it has received a binding offer from, and is entering into exclusive discussions with China Huaxin, a technology investment company, for the acquisition of Alcatel Lucent Enterprise. The contemplated transaction values Alcatel-Lucent Enterprise at EUR 268m on an enterprise value basis (cash-free / debt-free) and at a currently estimated EUR 237m on an equity value basis, for 100%. Alcatel Lucent will retain a minority stake of 15%.
The proposed transaction will shortly be submitted to the workers councils of Alcatel Lucent Enterprise for the required information and consultation procedures. A definitive acquisition agreement is expected to be signed during the second quarter of 2014. Closing would be subject to certain conditions, including the approval of certain regulatory authorities, and is targeted to take place in the third quarter of 2014.