Ericsson said it has closed its acquisition of multiscreen video specialist Envivio, noting that the transaction was completed through a merger of its indirect wholly owned subsidiary, Cindy Acquisition Corp., with and into Envivio.
Ericsson and Envivo, a maker of hardware and software-based encoding products, announced the $125 million deal on September 10.
Ericsson said the merger follows the successful completion of the tender offer by Ericsson for all shares in Envivio for 4.10 per share. As of expiration of the tender offer, 26,385,322 shares (including 58,467 shares pursuant to guaranteed delivery procedures) were validly tendered and not withdrawn in the tender offer, representing in excess of 93% of Envivio's issued and outstanding shares, Ericsson said.
As a result of the merger, any Envivio shares not tendered in the offer have been converted into the right to receive $4.10 per share, Ericsson said, noting that Envivio shares will be delisted from the Nasdaq.
Envivio, which went public in April 2012, has an installed base of more than 400 TV service providers worldwide. Known customers include Comcast, Cox Communications, Liberty Global and Time Warner Cable.
For more about how the Envivio deal and other recent acquisitions are factoring into Ericsson’s video strategy, please see this story (subscription required) in this week’s Next TV section of Multichannel News and Broadcasting & Cable.