Ericsson Bid for Tandberg Approved4/23/2007 5:03 AM Eastern
Ericsson announced Monday that it has received approvals from government regulators to acquire all outstanding shares in video-processing-equipment firm Tandberg Television.
In February, Ericsson launched an all-cash offer worth for Tandberg about $1.4 billion, topping a previous bid by Arris Group. Tandberg’s board of directors unanimously recommended the Ericsson bid to shareholders last month.
Ericsson said the settlement for the Tandberg shares submitted in the voluntary public cash offer is expected to take place on or about April 25. As soon as possible after that, Ericsson will proceed with a mandatory offer for the remaining shares in Tandberg as required by Norwegian finance regulations and arrange for the delisting of Tandberg shares from the Oslo Stock Exchange.
Tandberg, which has 870 employees worldwide, will become a wholly owned subsidiary of Ericsson once the deal is completed.