Reliance Industries has signed an agreement to acquire U.S.-based open telecom solutions provider Radisys, according to a press statement.
The cash acquisition is aimed at cementing Jio's position in futuristic areas such as 5G and Internet of Things (IoT). The deal is valued at a little less than 75 million dollar, and that Radisys will be delisted post the acquisition.
Radisys, which is headquartered in Hillsboro, Oregon, has nearly 600 employees. The Nasdaq-listed company also has an engineering team in Bengaluru, along with sales and support offices globally, a joint statement by the two companies said.
"Radisys Corporation... a global leader of open telecom solutions...and RIL, India's largest private sector company have entered into a definitive agreement under which Reliance will acquire Radisys for $1.72 per share in cash," the statement said.
The deal is subject to statutory and regulatory approvals and nod from Radisys' shareholders. It is slated to close in the fourth quarter of 2018.
RIL plans to fund the transaction through its internal accruals, the statement added.
"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," Akash Ambani, Director of Reliance Jio said.
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The acquisition is aimed at accelerating Jio's innovation and technology position in the areas of 5G, IOT and open source architecture adoption.