Alcatel-Lucent picks up Motive

Alcatel-Lucent said it will spend $67.8 million to pick up Motive Inc., an Austin, Texas-based developer of service management software for telecoms.
The French behemoth offered $2.23 per share for Motive, marking a 53% premium over Monday’s closing price of the stock, which trades on the over-the-counter Pink Sheets. The transaction is expected to close in the fourth quarter of 2008.
The two companies have worked together for three years to develop and sell remote management software offerings, and their joint customers include AT&T Inc., Verizon Communications, BT Group Plc., Vodafone Portugal and Swisscom. Motive claims 300 employees in Austin and Bangalore, India.
“This strategic combination is a natural evolution of our existing relationship and provides Motive the scale needed to meet the long-term needs of our customers,” said Motive CEO Alfred Mockett. “With this acquisition, Motive gains access to capital, technology and people necessary to deliver on our commitments and ensure a secure future for our customers.”
Motive shares jumped 68 cents, or nearly 47%, following the news. Shares of Alcatel-Lucent climbed 33 cents, or nearly 5%, to $7.06.