Jim Lico Joins NetScout’s Board of Directors;
Company Also Announces New $800 Million Revolving Credit Facility
WESTFORD, Mass.--(BUSINESS WIRE)--Jul. 14, 2015--
NetScout
Systems, Inc. (NASDAQ: NTCT), an industry leader in service
assurance solutions, announced that it has completed the acquisition of
Danaher Corporation’s (NYSE: DHR) Communications Business.
The transaction was valued at $2.3 billion, based on the issuance of
62.5 million shares of NetScout common stock, which closed yesterday at
$36.89 per share, to Danaher’s shareholders. Acquiring the Tektronix
Communications, Arbor Networks and parts of the Fluke Networks
businesses from Danaher Corporation accelerates NetScout’s strategic
progress by enabling the Company to offer a broader range of innovative
service assurance and cyber security solutions. These solutions provide
service providers, enterprises and public sector agencies with the
intelligence and analytics required to help them maximize the benefits
of powerful technology advances such as IP convergence, virtualization,
cloud computing, mobility, bring your own device (BYOD) and the evolving
Internet. The combined company will be well positioned to help its
customers drive ROI on their network and broader IT initiatives while
reducing the tangible risks associated with downtime, poor service
quality and compromised security.
“This acquisition represents an important milestone for NetScout that
enhances our ability to drive value for customers, stockholders,
employees and other stakeholders,” stated Anil Singhal, president and
CEO. “With a broader range of market-leading capabilities and
technologies, as well as more extensive, global go-to-market and
distribution resources, NetScout will be better positioned to capitalize
on the many exciting opportunities we see to further expand our customer
relationships around the world. We welcome over 2,000 new colleagues to
NetScout and collectively, we are looking forward to realizing the
Company’s potential in the marketplace.”
As previously disclosed, upon the completion of the transaction, James
A. Lico, executive vice president with responsibility for Danaher’s Test
& Measurement segment and Gilbarco Veeder-Root business, has been
appointed to NetScout’s Board of Directors. With the appointment of Mr.
Lico, NetScout’s Board of Directors has been expanded to eight members.
An updated biography for Mr. Lico, age 49, is available on NetScout’s
website at http://www.netscout.com/company/about-netscout/board-of-directors/.
NetScout also announced today that it has secured a new five-year, $800
million senior secured revolving credit facility that replaces its
previous revolving credit facility of $250 million. The new credit
facility can be used to support general working capital requirements as
well as to help finance the repurchase of NetScout’s common stock under
its recently approved 20 million share common stock repurchase plan. The
new facility was led by a syndicate of banks with J.P. Morgan Securities
LLC acting as the lead arranger.
About NetScout Systems, Inc.
NetScout
Systems, Inc. (NASDAQ:NTCT) is a market leader in service assurance
solutions that enable enterprise and service provider organizations to
assure the quality of the user experience for business and mobile
services. NetScout technology helps these organizations proactively
manage service delivery and identify emerging performance problems,
helping to quickly resolve issues that cause business disruptions or
negatively impact users of information technology.
Safe Harbor
Forward-looking
statements in this release are made pursuant to the safe harbor
provisions of Section 21E of the Securities Exchange Act of 1934 and
other federal securities laws. Investors are cautioned that statements
in this press release, which are not strictly historical statements,
including without limitation, the statements related to being
well-positioned to help its customers; driving value for customers,
stockholders, employees and other stakeholders; being better positioned
to capitalize on opportunities; realizing the Company’s potential in the
marketplace; and the timing and magnitude associated with the repurchase
of NetScout common stock as part of the Company’s 20 million share
repurchase plan. Actual results could differ materially from the
forward-looking statements due to known and unknown risk, uncertainties,
assumptions and other factors. Such factors include slowdowns or
downturns in economic conditions generally and in the market for
advanced network and service assurance solutions specifically; the
volatile foreign exchange environment; the Company’s relationships with
strategic partners; dependence upon broad-based acceptance of the
Company’s network performance management solutions; the presence of
competitors with greater financial resources than ours and their
strategic response to our products; our ability to retain key executives
and employees; the ability of NetScout to successfully integrate the
acquired assets and the associated technology; and to drive customer
adoption as well as generate operational efficiencies; and general stock
market conditions and other related factors that could influence the
timing and magnitude of NetScout’s stock repurchase activity. For a more
detailed description of the risk factors associated with the Company,
please refer to the Company’s Annual Report on Form 10-K for the fiscal
year ended March 31, 2015 which is on file with the Securities and
Exchange Commission. NetScout assumes no obligation to update any
forward-looking information contained in this press release or with
respect to the announcements described herein.
©2015 NetScout Systems, Inc. All rights reserved. NetScout and the
NetScout logo and nGenius are registered trademarks of NetScout
Systems, Inc.
View source version on businesswire.com: http://www.businesswire.com/news/home/20150714005946/en/
Source: NetScout Systems, Inc.
NetScout Systems, Inc.
Andrew Kramer, 978-614-4279
Vice
President, Investor Relations
IR@netscout.com