Brightpoint To Buy European Wireless Giant
Under the deal, Plainfield, Ind.-based Brightpoint will issue 30 million new shares and pay $100,000 to Dangaard in exchange for all of its shares. The transaction is expected to close in June or July.
The merged company will have $4.6 billion in pro forma revenue and more than 3,100 employees in 25 countries.
"This transaction will join together two of the most prominent players in the wireless handset distribution and logistics industry to create the true global leader," said Brightpoint Chairman and CEO Robert Laikin in a statement. "Our companies complement each other perfectly in terms of geography, service offerings and shared commitment to operational excellence. Our vendors, customers, employees and shareholders will all benefit from the global platform created by this transaction."
Shares of Brightpoint climbed 13 percent, or $1.34 per share, to $11.62 in afternoon trading Tuesday after the deal was announced. The merger is expected to be accretive to Brightpoint's earnings, but the company didn't offer more details.
In late December, Brightpoint unveiled an $88 million cash deal to acquire competitor CellStar's U.S. operation and Miami-based Latin American business.