Radisys Corp, a unit of Reliance Industries Ltd (RIL) owned by Jio Platforms Limited, has said it will buy Mimosa Networks from United States-based IT services company Airspan Networks Holdings Inc for $60 million (₹492.8 crore).
What Happened? The company in its filing to the exchanges stated that the deal was on a debt and cash-free basis.
“Mimosa has a diverse portfolio of point-to-point and point-to-multi-point products based on WiFi 5 and the newer WiFi 6E technologies as well as related accessories, such as twist-on antennas, PoE Injectors, etc, the exchange filing said. These solutions have use cases in the backhaul requirements for 5G and FTTX/ FWA rollouts,” the exchange filing said.
In 2018, Airspan acquired Mimosa to target cost-effective fixed wireless access network connections.
"Over the years, our collaboration with Airspan has resulted in groundbreaking architectures for high-speed connectivity for both the end user and backhaul applications,” said Mathew Oommen, President of Jio.
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“Acquisition of Mimosa will further accelerate Jio's innovation and leadership in the production of telecom network products that deliver value to consumers and enterprises across the globe with cost-effective, rapidly deployable fixed and mobile broadband,” he said.
Reliance Jio Infocomm USA Inc. is a wholly-owned subsidiary of Jio. The company is a shareholder of Airspan and maintains a seat on its Board of Directors.
The transaction is subject to certain regulatory and other customary closing conditions, including the US Committee on Foreign Investment in the United States (CFIUS) review and approval by Airspan’s senior lender, and is expected to complete in the third quarter of 2023.
Price Action: RIL shares were trading 2.37% lower at ₹2,360.15 at market close on Thursday.
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