Mobile Broadband Firm Airvana Gets Acquired For $530 Million
72 Mobile Holdings LLC is a newly formed company by private equity firms S.A.C. Private Capital Group LLC, GSO Capital Partners LP, Sankaty Advisors LLC, and ZelnickMedia. Through the private equity firms, 72 Mobile Holdings has acquired mobile broadband firm Airvana in a deal worth $530 million.
Airvana shareholders will receive $7.65 in cash for every share that they own. This is a 23% premium of the company’s closing stock price as of yesterday. The deal will be fully closed in the first quarter. Merle Gilmore, former President of the Communications Enterprise division at Motorola will become the chairman of Airvana.
Airvana is one of the biggest companies to manufacture femtocells, or routers that are placed in buildings to help increase cell phone service.This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry