Cisco Agrees to Acquire Cariden for Roughly $141 Million
Published Thursday, 29th November 2012 09:54 pm - © 2012 Dow Jones
--Cariden helps manage telecom networks
--Acquisition follows $1.2 deal for Meraki
--Deal extends Cisco's busiest acquisition year since 2007
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By Drew FitzGerald
Cisco Systems Inc. (CSCO) unveiled plans to buy networking software provider Cariden Technologies Inc. for about $141 million in cash and retention-based incentives, continuing its streak of large acquisitions this month.
Privately held Cariden makes tools that help telecommunications companies plan, design and manage networks. Its service-provider customers include Deutsche Telekom AG (DTEGY, DTE.XE) and Verizon Communications Inc. (VZ).
Cisco said it will integrate Cariden's employees into its service provider networking group after the deal's closing, expected in Cisco's current fiscal quarter ending in January.
The move represents Cisco's 10th purchase this year, making it the company's busiest year of acquisitions since 2007, when the company struck 11 deals. The San Jose, Calif., company earlier this month disclosed its planned acquisition of the Wi-Fi management company Meraki in a deal valued at $1.2 billion. Cisco also this month said it would pay $125 million to buy Cloupia, which makes software for data-center equipment.
The latest three deals come after Cisco reported a stronger quarterly profit benefiting from fewer restructuring charges and higher revenue despite weakening conditions in Europe.
Cisco shares were recently up 10 cents at 18.93 premarket. The stock has gained 8.9% over the past month.
--Tess Stynes contributed to this article.
Write to Drew FitzGerald at email@example.com
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