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Is Mitel considering
Avaya mega-merger?
IN POTENTIALLY ONE of
the most audacious
moves in telecoms
Mitel has apparently
proposed a moved
to merge with Avaya
in a deal worth more
than $2bn. Reports
emerged earlier
this month about a
potential PE interest
in Avaya which is in
part driven by Avaya’s
current low market
evaluation.
According to the
Wall Street Journal,
Mitel is offering $20 to $22 per share. Avaya’s share price has risen
to just over $19 per share upon the news breaking.
Mitel CEO Rich McBee (pictured) has been vocal about the need
for the market to consolidate and has been an active acquirer with
ShoreTel and the comms division within Toshiba. The consolidation
of both companies would create a credible competitor to Cisco,
currently a dominant force following the BroadSoft purchase with
about 44% of the market according to Synergy Research Group.
Avaya’s strengths sit fi rmly at the enterprise end of the market
where Mitel has a mid-market and smaller business focus.
Combined, the companies have a huge installed base and which will
be needed to combat Cisco and also the ever dangerous Microsoft.
Avaya’s renewed strategy and focus is showing signs of paying off,
but they are still juggling $3bn in debt which hasn’t been discussed
as yet and presumably would push the value of the deal to over $5bn
if it were to happen.
Naturally, both companies declined to comment on the rumours.
COMMS365 LAUNCHES 4G FIXED SERVICE
COMMS365 HAS ANNOUNCED the
launch of its most adventurous
Fixed IP 4G Data services to
date.
Available now, partners will
be able to offer their customers
the choice of two new ‘Mega-
Data’ products; a 500GB and
1TB data bundle. Both options
will enable high speed, large
data backup to FTTC and
Ethernet. The service is also
a dependable Pre-Ethernet
offering and is the ideal solution
for those business customers
that require a high-speed
connection in poor fi xed line
areas, as well as those who
require the ability to stream HD
CCTV.
Mike van Bunnens, Managing
Director at Comms365,
comments; “Many companies
with high-speed primary
Ethernet services worry
about the cost of mobile data
as a backup service. With
Comms365’s new business
grade Fixed IP ‘Mega-Data’
SIM options, businesses no
longer need to worry about
excess charges in the event
their primary communications
fail. We want every business
to benefi t from resilient
connectivity regardless of size
– this is now possible with our
new solutions.”
Comms365 is offering the
service as part of its SD-One
offering, with pre-confi gured
hardware enabling it to be
deployed straight out of the
box. With Quality of Service
(QoS) to prioritise applications
and Distributed Denial of
Service (DDoS) protection
offered as standard.
CCOOMMMMSS NNEEWWSS
6 | Comms Business Magazine | June 2019
/unionstreet.uk.com