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Avaya Competes Acquisition of Nortel's Enterprise Solutions Business
Avaya completed its acquisition of Nortel's global Enterprise Solutions business as well as the shares of Nortel Government Solutions Incorporated and DiamondWare. Approximately 6,000 NES employees have joined Avaya, including 25 top managers. Joel Hackney, previously president, Nortel Enterprise Solutions, joins the Avaya Executive Committee as senior vice president and president, Avaya Government Solutions and Data.
The deal enhances Avaya's strategic position in providing business communications solutions and services for enterprise customers. Avaya will now begin the work to integrate the operations and customer care functions of the two organizations. The company expects to provide information about the new combined product portfolio and roadmap within the next 30 days.
The sale of certain Enterprise Solutions assets held by Israeli subsidiaries remains subject to court approval in Israel.
"The completion of this acquisition represents another major step in Avaya's evolution and growth in the communications industry," said Kevin J. Kennedy, president and CEO, Avaya. "Avaya and Nortel Enterprise Solutions share a common vision for the future of business communications. By combining our complementary technology portfolios, deep industry specific domain expertise, sales channels and customer bases, the new Avaya will redefine business communications and help customers to reduce costs, simplify operations and increase their business agility."
"This is our second, large-scale business divestiture, and it represents significant progress on Nortel's plan to preserve the value of its innovation, while maximizing value through the sale of its businesses," said Pavi Binning, Chief Restructuring Officer, Nortel.
http://www.avaya.comhttp://www.nortel.com
18-Dec-09
- In September 2009, Avaya prevailed its bid to acquire Nortel Enterprise Solutions at auction for US $900 million in proceeds to Nortel and an additional pool of $15 million reserved for an employee retention program.
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