Alcatel, the French manufacturer of telecommunications equipment, announced last week it is buying US-based software vendor Genesys Telecommunications Laboratories in a stock swap transaction valued at $US1.5 billion.
The deal is based on a $28 valuation of each Alcatel American depository share (ADS), Alcatel said in a statement. Genesys shareholders will be given 1.667 Alcatel ADS shares for each Genesys share they own, with an agreement that Genesys share values will range between $45 and $55.
Alcatel is listed on the New York Stock Exchange, and closed last Monday at $27.06 per ADS. The deal is expected to close by January, 2000, Alcatel said.
The acquisition of Genesys, a provider of CTI (computer telephony integration) and enterprise interaction management software, is part of Alcatel's plan to expand its electronic business and telecommunications networking systems based on its existing call centre and networking business.
Last March, Alcatel announced it would be cutting 12,000 jobs over two years in response to flat sales figures of 997 million euros ($US1.1 billion) for the 1998 fiscal year.