Wireless transport company Aviat Networks has publicly announced its bid to buy competitor Ceragon, offered Ceragon অর্জন 2.80 per share in cash and offered to call a special shareholder meeting to replace Ceragon board members. Offer Aviat already owns more than 5% of the company and Says it is the third largest shareholder in Ceragon.
This is the latest step in an ongoing negotiation that Sergeon has so far rejected.
“Over the past year, we have repeatedly tried to negotiate the terms of a transaction with the board and management team of Serragon that we are confident will provide meaningful near and long-term value for shareholders of both companies,” said Peter Smith, Aviat President and CEO in a statement. “We have twice tried to reasonably address the concerns expressed by Syracuse and only met with delays and rejections. Along with the chairman of Aviat, I traveled to Israel last week to meet in person with the chairman, CEO and a member of Ceragon’s board. They refuse to engage in constructive negotiations with us, instead demanding more for unconventional and off-market provisions that seem to be intended to delay only, we have no choice but to make Sergon shareholders aware of our proposal. “
Abhiyat said, a Company statement It believes that “the combination of Aviet and Serragon will create a leading global wireless transport specialist that is more efficient and competitive, and in a better position to provide more innovation and service in their complementary customer bases.”
Smith added that Aviet “[looks] Ceragon looks forward to giving shareholders the opportunity to benefit from this combination. We believe that they will acknowledge that our offer is binding, prompt and provides specific value, to the extent that that value will be generated for Ceragon shareholders if Ceragon remains an independent entity. Although we would like to discuss a transaction with Syracuse on a friendly basis, we are ready to take all necessary steps to follow up on this transaction. “
Aviat said it called a meeting of Ceragon shareholders to “increase the size of the Seragon board, remove the current three directors of Ceragon and select independent, well-qualified new board leadership who will properly evaluate the proposal and discuss it for discussion. Best results for Seragon’s shareholders. “
Ceragon a letter from Aviat President and CEO Peter Smith, which was delivered RCR Wireless News By Aviat, note that previous offers of $ 3.25 per share in November 2021 and 80 2.80 per share in April 2022 rejected Ceragon’s leadership as inadequate. In his letter, Smith said that top officials at Serragon avoided engaging in price negotiations, insisting on additional break-up fees if the transaction was not completed, and other conditions that Aviate did not consider reasonable. Please.
“Based on your feedback on our proposals to date, we believe it is time for new board leadership to evaluate our proposal and discuss the best outcomes for Sergan’s shareholders,” Smith said in his letter.
RCR Wireless is news reached out to Ceragon for comments and will update this story accordingly.
