Reliance Industries is gearing to acquire Nasdaq listed telecom solutions provider Radisys Corporation for a whopping $75 million i.e approx (Rs. 510 crores), a move that would push it into an Internet of Things and 5G through Reliance Jio Infocomm.
According to the sources, RIL will pay $1.72 per share in cash for the buyout which will bolster Mukesh Ambani owned company’s positioning as a telecom company.
In its official company statement, Reliance Jio director Akash Ambani said, “This acquisition further accelerates (Reliance) Jio’s global innovation and technology leadership in the areas of 5G, IOT and open source architecture adoption.”
Speaking on the development, Akash Ambani further said, “Radisys top-class management and engineering team offer Reliance rapid innovation and solution development expertise globally, which complements our work towards software-centric disaggregated networks and platforms, enhancing the value to customers across consumer and enterprise segments.”
Radisys Corp. provides an open centric software, hardware and software services through its internal accruals. As per the sources, the deal will witness its final closing in the fourth quarter of 2018.
Brian Bronson, CEO of Radisys, said in the statement,
It is interesting to note that two months back RIL had signed a pact to merge music app with its own digital music service JioMusic which created a $1 billion entity RIL having more than 75% stake in it.
Lately, RIL and Jio have been raising money through bonds to strengthen their expansion plans in last few months.