Alcatel-Lucent to buy partner Motive
Alcatel-Lucent is buying Motive, which specializes in service management software for broadband and mobile data services.
The acquisition will be through a cash tender offer for all outstanding Motive shares at a price of $2.23 per share, or a total of approximately $67.8 million. In the last year, Motive’s stock has traded in the range of 40 cents to $1.80 per share.
Alcatel-Lucent and Motive have been working together for three years to develop and sell remote management software solutions for automating the deployment, configuration and support of residential gateways. The pair have more than 40 customers for those products, including AT&T, Verizon, BT, Vodafone Portugal and Swisscom.
Alcatel-Lucent also resells Motive products that help service providers integrate voice, video and data.
“This strategic combination is a natural evolution of our existing relationship and provides Motive the scale needed to meet the long-term needs of our customers,” said Alfred Mockett, chairman and CEO of Motive. “Alcatel-Lucent and Motive have a complementary worldwide footprint of customers and partners, and a history of working together to help ensure the success of our joint customers. With this acquisition, Motive gains access to capital, technology and people necessary to deliver on our commitments and ensure a secure future for our customers.”
Motive has 300 employees worldwide – with R&D operations in Austin, Texas, and Bangalore, India – and it will become a part of Alcatel-Lucent’s Fixed Access Division, within the Carrier Business Group.
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