Arris-Pace Deal Gets Preliminary Pass From Brazil

Merger Expected to Close in ‘Early January 2016’
arris 450x345.jpg

Arris Group announced Thursday that Brazil’s competition authority, CADE, has given preliminary approval “without restrictions” to Arris’s proposed $2.1 billion acquisition of U.K.-based set-top and access network vendor Pace plc.

“The clearance is expected to become final on December 19, 2015, following Brazil's mandatory appeals period,” Arris said. “When finalized, the approval in Brazil will complete the merger-control clearances required for the transaction.”

With that regulatory barrier all but passed, Arris now expects the Pace deal to close in “early January 2016.”

On Tuesday (December 1), Arris announced that the U.S. Department of Justice has closed its investigation into the vendor’s proposed merger with Pace “without condition.” There had been concerns that the DoJ would pin conditions on the deal that would call on Arris to divest part of the optical transmission business of the combined company.

Arris and Pace shareholders have already approved the deal, which was announced April , and has also been cleared by regulators in Colombia, Germany, Portugal and South Africa.