Mitel to acquire rival Aastra
Unified communications solutions provider Mitel Networks is set to acquire rival Aastra Technologies in a $374 million deal.
The move is expected to double Mitel’s revenue to $1.1 billion and expand its presence in western Europe.
The combined company will be headquartered in Ottawa and will operate under the Mitel brand, although will continue to leverage Aastra’s brand recognition in the European market.
The combined market presence of the organisation is said to have over 60 million end users in more than 100 countries, with a global network of more than 2,500 channel partners.
The company believes it is well positioned to tap into both SME and large global enterprise accounts with its cloud solutions, and has targeted expansion in the cloud segment in the US.
“The business communications market is ripe for consolidation and on the cusp of a mass migration to cloud-based services. We believe that small competitors with narrow focus and limited global reach will quickly be marginalised," said Richard McBee, president and CEO, Mitel.
"Aastra's solid financial structure, complementary portfolios, geographic reach, and large installed base immediately augment and expand Mitel's market footprint, enabling us to capitalise on a unique opportunity to leap-frog the competition and lead the market.”