Hale Capital Partners sells Telanetix to Intermedia
Sep 02, 2013 (MarketLine Financial Deals Tracker via COMTEX) --
Hale Capital Partners, a private equity firm, has sold Telanetix, Inc., a cloud based communications solutions company, to Intermedia.net, Inc., a provider of cloud services to small and medium-sized businesses (SMB's). All the entities are based in the US.
Upon closing of the transaction, each Telanetix common shareholders will be entitled to receive approximately $7.4 per share in cash.
Announcement (January 18, 2013):
Hale Capital has entered into a definitive agreement to sell Telanetix to Intermedia.
Under the terms of the agreement, the aggregate consideration to be paid by Intermedia will equal to approximately $55 million, which includes the assumption of approximately $13 million in net debt and certain liabilities, and is subject to reduction for potential purchase price adjustments. Each Telanetix common shareholders will be entitled to receive approximately $7.4 per share in cash.
The portion of all-cash transaction is expected to be financed through a bank syndicate led by Silicon Valley Bank, Royal Bank of Canada, Churchill Financial, LLC, Citigroup, Inc., and CapitalSource Bank.
This transaction was unanimously approved by a Special Committee of independent Telanetix directors, and was also approved by the Boards of Directors of Telanetix and Intermedia.
Stifel Nicolaus Weisel is acting as lead financial advisor, while Holland & Knight, LLP is acting as legal advisor to Telanetix. Duff & Phelps, LLC is acting as a fairness opinion to the special committee and the Board of Directors of Telanetix. Wilson Sonsini Goodrich & Rosati is acting as legal advisor to Intermedia.
Schulte Roth & Zabel LLP is acting as legal advisor to Hale Capital Partners.
The transaction is expected to close in the second quarter of 2013.
Concurrently, Intermedia received investment from existing investors, includes Oak Hill Capital Partners and Nokia Growth Partners.
Deal Value (US$ Million) 55
Deal Type Private Equity
Deal Status Completed: 2013-08-30
Target (Company) Telanetix, Inc.
Acquirer (Company) Intermedia.net, Inc.
With this transaction, Intermedia will increase its cloud voice and hosted PBX services for SMBs in the US. The transaction enhances Intermedia's suite of integrated cloud services managed with its proprietary HostPilot(R) control panel, and brings scale to the voice operations of the combined company.
This transaction will further enable Intermedia to execute on its office in the Cloud (TM) vision of an integrated suite of cloud services for small and medium-sized businesses and the channels that serve them.
With this acquisition, Intermedia will gain a team of about 100 capable individuals with significant, successful experience developing and delivering next-generation hosted voice services that will meet the rapidly evolving communications needs of its customers and partners.
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