The deal is expected to be completed by the end of this year or early next year, subject to approval from the Committee on Foreign Investment in the United States (CFIUS). It will include the transfer of approximately 1,800 employees worldwide.
The sale of the Genesys unit is expected to provide necessary funding for Alcatel-Lucent, which has experienced losses over the past five years. Permira’s offer is the same amount the company originally purchased Genesys for in 2000.
The move, however, could mean the French-American company will no longer have to sell its enterprise equipment business, which it confirmed it was considering selling earlier this year (for further information click here).
Alcatel-Lucent’s CEO, Ben Verwaayen, said the deal concludes the company’s “evaluation of strategic options” for both its Enterprise and Genesys businesses.
“Permira’s intended acquisition of Genesys would enable this profitable business to flourish further; with Enterprise, we have reached the conclusion that retaining it and strengthening it further serves Alcatel-Lucent and our customers best. Our chosen direction is to leverage the natural connections that exist between enterprise and carrier customers, and proactively apply Enterprise’s strengths and momentum in unified communications and data networking with them,” he added.
