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Middle East – October 19, 2011 – Alcatel-Lucent (Euronext Paris and NYSE: ALU) announced today that it has received a binding offer of US$1.5 billion from a company owned by the Permira funds for the acquisition of its Genesys business. The closing of the deal, expected by the end of 2011 or the beginning of 2012, is subject to review by the Committee on Foreign Investment in the United States (CFIUS), as well as to all necessary prior approvals and consultations in various countries. The purchase price of US$1.5 billion would be paid in cash on a debt/cash-free basis.
Genesys – which reported 2010 sales of approximately US$500 million – is a recognized world leader in customer service software and contact center solutions for enterprises. The contemplated deal would include the transfer of the approximately 1,800 employees worldwide, the management team and the existing business structure to ensure seamless continuity with customers and other stakeholders.
Ben Verwaayen, CEO of Alcatel-Lucent, said: “We have now positively concluded our evaluation of strategic options for both our Enterprise and Genesys businesses. Permira’s intended acquisition of Genesys would enable this profitable business to flourish further; with Enterprise, we have reached the conclusion that retaining it and strengthening it further serves Alcatel-Lucent and our customers best. Our chosen direction is to leverage the natural connections that exist between enterprise and carrier customers, and proactively apply Enterprise’s strengths and momentum in unified communications and data networking with them.”
“Genesys is widely recognized as one of the world’s leading providers of customer service software and contact center solutions, and we are excited by the long-term growth potential of this business,” said Brian Ruder, Permira Partner. “With an exceptional brand, differentiated technologies and a blue-chip customer base, Genesys is well positioned to continue to take advantage of the positive trends in its expanding markets.”
Genesys and Enterprise would continue to enjoy a strong commercial relationship, with a joint development agreement and the two businesses continuing to have access to each other’s product portfolios.
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