JDSU Acquires Network Instruments
MILPITAS, Calif. -- JDSU (NASDAQ: JDSU and TSX: JDU) today announced that it has entered into a definitive agreement to acquire Network Instruments, a leading developer of enterprise network and application-performance management solutions for global 2000 companies. JDSU plans to acquire Network Instruments for $200 million in cash, subject to certain adjustments. The companies expect to close the transaction, subject to customary regulatory approvals, within approximately 45 days.
The acquisition of Network Instruments further strengthens JDSU as a key solutions provider to the enterprise, data center and cloud networking markets. It expands the addressable market for JDSU’s Network and Service Enablement business segment by more than $1 billion in markets growing at nearly 13 percent, including the application-aware network performance management and network packet broker markets.
Network Instruments will also add a talented employee base to JDSU that includes research and development, sales, marketing and production teams with decades of experience and proven success in the enterprise market. Network Instruments has put the highest priority on product performance and reliability and brings a long track record of profitable growth. The Network Instruments Observer and GigaStor line of network and application management tools are considered some of the best in the market for ease-of-use, scalability, feature sets and performance. The company has approximately 125 employees and had annual revenue of approximately $40 million for the trailing twelve month period. The transaction is expected to be accretive to JDSU earnings on a non-GAAP basis starting in the fourth quarter of FY14.
JDS Uniphase Corp. (Nasdaq: JDSU; Toronto: JDU)