Alcatel, Lucent pull trigger on big merger

Apr 03, 2006

Sunday's merger of France's Alcatel and U.S. telecom manufacturer Lucent will be finalized in six to 12 months, assuming regulatory approval is granted.

The two companies will have a combined value of $25 billion and bill themselves as "the first truly global communications solutions provider with the broadest wireless, wireline and services portfolio in the industry."

"The communications industry is at the beginning of a significant transformation of network technologies, applications and services," said Patricia Russo, who will be chief executive officer of the Paris-based combined companies, "one that is projected to enable converged services across service-provider networks, enterprise networks and an array of personal devices."

The anticipated merger of equals is expected to also pay off in the form of $1.7 billion in cost-saving measures over the first three years.

The financial terms provide Lucent shareowners with 0.1952 shares of Alcatel. Alcatel shareholders will hold 60 percent of the company with Lucent stockholders in control of the other 40 percent.

Copyright 2006 by United Press International

Explore further: Reflected smartphone transmissions enable gesture control

add to favorites email to friend print save as pdf

Related Stories

Alcatel-Lucent sets broadband speed record using copper

Jul 10, 2014

Might a research heavyweight open a new door to gigabit speed with the use of copper? Alcatel-Lucent on Wednesday said it set a new world record broadband speed of 10Gbps for transmission of data using traditional ...

Fiber-optic speeds achieved over copper lines

Apr 28, 2010

(PhysOrg.com) -- Bell Labs, Alcatel-Lucent's research arm, has demonstrated industry record broadband download speeds of up to 300 Megabits per second using two traditional twisted pair copper telephone lines. ...

Recommended for you

CloudFlare tackles lost SSL key risk with Keyless SSL

3 hours ago

Organizations looking for and concerned about optimal security protection are the targets of a new service announced by San Francisco-based CloudFlare. The offering is called Keyless SSL. CloudFlare explained ...

Alibaba makes Wall Street debut

4 hours ago

Alibaba made its long-awaited Wall Street debut Friday on the heels of a record stock offering that opens the door to global expansion for the Chinese online retail giant.

Seeing through the fog (and dust and snow) of war

5 hours ago

Degraded visibility—which encompasses diverse environmental conditions including severe weather, dust kicked up during takeoff and landing and poor visual contrast among different parts of terrain—often ...

User comments : 0