Lucent Acquiring Xedia Corp.
MURRAY HILL, N.J. (AP) _ Lucent Technologies Inc. is acquiring Xedia Corp., a maker of corporate computer network gear, for about $246 million in stock, the companies announced Friday.
Xedia, based in Acton, Mass., specializes in routers that act as a gateway from the Internet to a corporation’s private network, allowing employees or customers to connect to the network from anywhere on the Internet. Xedia was founded in 1993 and employs approximately 90 people, who will remain in Acton.
The cost of the transaction, involving 3.86 million shares of Lucent common stock, is based on the company’s Aug. 12 closing share price of $63.75. The deal is expected to be completed by Dec. 31, Lucent said Friday in a statement.
Xedia chairman Ashley Stephenson will be named vice president and chief technology officer of Lucent’s Enterprise WAN Systems group. Xedia’s President Robert Steinkrauss will be named vice president and general manager of the same unit.
Lucent, based in Murray Hill, N.J., is a leading maker of telecommunications equipment.