Arris expects delay in closing Pace takeover

News Video Global 19 OKT 2015
Arris expects delay in closing Pace takeover
Arris has hit a stumbling block in its proposed takeover of Pace. The company announced that due to an extended regulatory review in some countries, the closing of the transaction will be delayed, until late December or the first quarter of 2016, compared to the original expectation of late 2015. 

As previously disclosed, Arris received a request for additional information from the US, Brazil and Colombia competition regulators evaluating the takeover. Arris said it's working to respond to these additional requests and still expects to receive regulatory clearance for the takeover. 

In the US, the Department of Justice's Antitrust Division is focusing on certain optical transmission products of Arris and Pace. The company noted that this could lead to a required sale of some products in order to gain approval from the DoJ, which could further delay the closing. The company said its original projections for adjusted EPS fo the first 12 months following the takeover "remain possible", based on its current understanding of the DoJ review. 

Categories:

Video

Companies:

Arris,  Pace

Regions:

Global

Tags:

Regulations, Consumer devices, Wholesale, M&A buyouts & divestments

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