Following swiftly on the heels of its acquisition of cable manufacturer CommScope, Carlyle has also agreed to acquire Florida-based Syniverse Technologies for US$2.6bn.
Carlyle is offering US$31 a share in cash for Syniverse’s stock, representing a 35%…
Following swiftly on the heels of its acquisition of cable manufacturer CommScope, Carlyle has also agreed to acquire Florida-based Syniverse Technologies for US$2.6bn.
Carlyle is offering US$31 a share in cash for Syniverse’s stock, representing a 35% premium over the average closing price of the company over the last 30 days to October 26.
Syniverse provides mobile roaming, messaging and network solutions for the telecoms industry.
Carlyle is paying investors about 11.4x Syniverse’s EBITDA and amortization. This is in line with the median EBITDA multiple of 11 that similar deals have commanded in the past nine years, reported Bloomberg.
The transaction will close in the first quarter of 2011 and has been unanimously approved by Syniverse’s board of directors.
The acquisition will be financed through equity provided by Carlyle Partners V, a US$13.7bn buyout fund that targets investments in the US, with the debt provided by Barclays Capital and Credit Suisse.
Deutsche Bank was Syniverse’s financial adviser, while Evercore Partners, Barclays and Credit Suisse worked for Carlyle. Alston & Bird acted as legal adviser to Syniverse and Latham & Watkins served as legal adviser to Carlyle.
Syniverse was unavailable for comment at the time of going to press.
Carlyle declined to comment.
