Friday, October 15, 2004

Alvarion and interWAVE Amend Merger

Alvarion and interWAVE announced an amended merger agreement under which Alvarion will provide additional interim financing and $4.18 per share in cash, for total consideration of approximately $40.5 million.

Alvarion anticipated reduced cash generation by interWAVE, increased cash outlay by Alvarion and therefore reduced the consideration paid in the transaction. http://www.alvarion.com
  • Earlier this month, Alvarion called a halt to its acquisition of interWAVE, a provider of compact mobile GSM and CDMA network equipment and services, citing interWave's recent financial results as well as anticipated results going forward.

  • In July, Alvarion agreed to acquire interWAVE Communications International in an all-cash transaction valued at approximately $56 million.

  • interWAVE is a provider of compact mobile GSM and CDMA network equipment and services, primarily aimed at low density markets in developing regions, as well as specialty vertical applications. The company's solutions are deployed in over 50 countries by more than 100 operators, mainly local and regional cellular operators. interWAVE, which is based in Mountain View, California with engineering facilities in China and Ireland , had 12-month trailing revenues of about $39.4 million.

  • Alvarion is a leading supplier of wireless broadband solutions and is actively involved in WiMAX initiatives. The company said interWAVE's fixed and mobile cellular solution complements its own eMGW residential voice and data solution serving regions of the world where wireline infrastructure is missing or inadequate.