Polycom to acquire SpectraLink in $220M deal

Polycom Inc. plans to acquire SpectraLink Corp., according to a definitive agreement between the companies.
SpectraLink provides workplace wireless solutions, including wireless handsets that integrate with VoIP and business telephone platforms. Polycom specializes in video, voice, data and Web technologies such as conferencing and collaboration products.
Terms of the agreement call for Polycom to begin a cash tender to purchase all outstanding shares of SpectraLink for $11.75 per share. That translates into a purchase value of about $220 million.
The deal has been approved by both companies’ boards of directors. The companies said they expect the deal to close during the second quarter.
Polycom said the acquisition will extend its IP-based collaboration solution into the mobile environment.
“Our customers are demanding wireless solutions in the enterprise and in the vertical markets we serve,” said Robert Hagerty, chairman and CEO of Polycom. “Leveraging our proven strength in Polycom Voice over IP solutions, we believe this combination yields the key strategic synergy of uniquely positioning Polycom as the only independent provider of both fixed and mobile solutions that seamlessly encompass voice, video and data collaboration solutions from the desktop, to the meeting room, to the mobile individual.”
Separately, SpectraLink reported revenue of $37.5 million for the fourth quarter, a 7-percent decline from the previous year. The company said the shortfall was due primarily to a decline in domestic and international OEM sales.
The company’s net income for the quarter was $573,000, down from the $4.9 million it reported in the same period last year.