Reports: Alcatel, Lucent boards to vote on merger

The boards of Alcatel SA and Lucent Technologies Inc. are due to meet Tuesday to consider a merger of their respective companies that will put Alcatel in control, according to press reports Tuesday.

The takeover will be the biggest by a European company of a U.S. business, said a report in the Tuesday edition of the Financial Times, which valued the deal at US$32 billion.

The two companies’ boards are expected to vote on the deal Wednesday, with an announcement due on Thursday, according to the Financial Times.

According to The Wall Street Journal, Alcatel will offer Lucent shareholders $23.5 billion in stock. The deal on the table excludes Lucent’s 58 per cent stake in Agere Systems Inc., worth $7.68 billion, which will still be sold off to Lucent shareholders, the report said.

Together, Alcatel and Lucent could cut costs by $4 billion annually, and fill the gaps in their ranges of products for enterprise customers, the Journal said.

Alcatel has “no comment to make on the reports,” said spokeswoman Fran

Would you recommend this article?


Thanks for taking the time to let us know what you think of this article!
We'd love to hear your opinion about this or any other story you read in our publication.

Jim Love, Chief Content Officer, IT World Canada

Featured Download

Featured Articles

Cybersecurity in 2024: Priorities and challenges for Canadian organizations 

By Derek Manky As predictions for 2024 point to the continued expansion...

Survey shows generative AI is a top priority for Canadian corporate leaders.

Leaders are devoting significant budget to generative AI for 2024 Canadian corporate...

Related Tech News

Tech Jobs

Our experienced team of journalists and bloggers bring you engaging in-depth interviews, videos and content targeted to IT professionals and line-of-business executives.

Tech Companies Hiring Right Now