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Tekelec and NICE Enter Agreement for Sale of IEX
[May 02, 2006]

Tekelec and NICE Enter Agreement for Sale of IEX


TMCnet Contributing Editor
 
Tekelec and NICE Systems have recently entered into a definitive agreement for the purchase by Nice Systems from Tekelec (News - Alert) of all of the stock of Tekelec's wholly owned subsidiary, IEX Corporation.


 
IEX, a provider of workforce management and optimization technology for contact centers has reportedly been purchased at a price of $200 million in cash, subject to a possible working capital adjustment. Tekelec has not revealed any immediate plans for the utilization of the net proceeds it expects to gain upon closing from this transaction.

 
The transaction is expected to close during the second quarter of 2006, and the closing is subject to customary regulatory approvals and closing conditions.
 
Frank Plastina, President and CEO of Tekelec said in a press release that this deal converts a non-telecom business unit into cash at an attractive valuation and under favorable terms. Although IEX has been contributing to the financial performance of Tekelec for many years, it was not a part of their long-term telecom systems growth strategy.
 
“This deal will significantly strengthen our balance sheet and enhance our ability to consider complementary strategic opportunities in our core business. The price and terms of this transaction confirm IEX’s position as a leading solution provider in a rapidly consolidating industry.”
 
“IEX was the natural choice for us in expanding and accelerating the execution of our strategy to lead the Insight from Interactions revolution in the contact center and enterprise,” added Haim Shani CEO of NICE Systems (News - Alert).
 
“We are excited about redefining our market space together and introduce a paradigm shift in how contact center management and enterprise executives make decisions, monitor and improve performance.”
 
 
For more information visit Tekelec, Nice , IEX
 
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Anuradha Shukla is a contributing writer for TMCnet covering call centers, CRM and information technology.
 
 

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