In newest deal, Alcatel to buy DSC for stock
Article Abstract:
Alcatel Alsthom acquired telecommunications equipment company DSC Communications for $4.4 billion in stock. The announcement continues the merger wave among companies that produce a range of complex electronic equipment to power sophisticated communications networks, as Tellabs bought Ciena for $7.1 billion in stock on Jun 3, 1998. Alcatel will expand its presence in the US, which accounted for only $1.5 billion of the French telecommunications equipment giant's $14.1 billion in 1997 sales. The recently-struggling DSC reported 1997 sales of $1.6 billion. Financial terms call for Alcatel to exchange 0.815 of an Alcatel American depository receipt for each share of DSC stock, as well assuming DSC's net debt of $40 million. DSC's operating earnings, discounting one-time charges and credits, have fluctuated from $1.63 a share in 1995 to 44 cents in 1996 to 85 cents in 1997. Analysts project DSC to lose 7 cents a share in 1998.
Publication Name: The New York Times
Subject: Business, general
ISSN: 0362-4331
Year: 1998
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Siemens buys 2 companies to enter data networking; German giant plunges into booming market
Article Abstract:
Siemens A.G. has purchased two American data-networking equipment companies as part of its expansion into the data communications market. Siemens has formed a subsidiary called Unisphere Solutions Inc. to control its data communications businesses. This is part of a growing trend of European companies.
Publication Name: The New York Times
Subject: Business, general
ISSN: 0362-4331
Year: 1999
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Alcatel agrees to buy Xylan for $1.7 billion
Article Abstract:
Though neither company will comment prior to the official announcement, Alcatel of France is about to acquire Xylan Corp. of Calabasas, Calif. for $1.7 billion in cash. The deal will gain Alcatel inroads to data communications technology and an excellent Xylan sales force in the US.
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To buy Xylan Corp. in all cash deal
Publication Name: The New York Times
Subject: Business, general
ISSN: 0362-4331
Year: 1999
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