DoJ Clears Arris/Motorola Home DealArris Expects to Close Proposed $2.35 Billion Transaction on or about April 17 4/12/2013 5:35 AM Eastern
Arris Group said Friday the U.S. Department of Justice had cleared the company's proposed $2.35 billion acquisition of Motorola Mobility's Home unit from Google.
"As a result, all required regulatory approvals have been received, or the applicable waiting periods have expired, and Arris expects to close the transaction on or about April 17, 2013," Arris said.
The stamp removes a big hurdle and comes about a month after the DoJ sought additional information from Arris regarding the transaction. At the time, Arris said it "believes the transaction is pro-competitive and will create compelling new opportunities for its customers and partners worldwide. Close scrutiny is typical in transactions of this size."
Arris announced its intention to buy Motorola Home on Dec. 19, 2012, and it's been on track for a second quarter 2013 closing ever since.
While the acquisition of Motorola will make Arris the nation's largest supplier of set-tops, the companies do have several significant product lines that overlap, including cable modems, cable modem termination systems, edge QAMs and set-top software and user interfaces.
Arris has not announced how it intends to integrate Motorola Home's products and people, or revealed what the leadership structure will look like once the deal is closed. Horsham, Pa.-based Motorola Home is presently helmed by former Charter Communications CTO Marwan Fawaz.
An Arris spokesman declined to comment beyond Friday's announcement.
Notably, Comcast, currently Arris's largest customer, has agreed to buy a $150 million stake in the combined company. As a result, Comcast and Google will each own about 7.85% of Arris, but will not get board seats with Arris.