Early today, we learned that Ericsson entered into an agreement to acquire Vonage. Ericsson and the Vonage board agreed on a purchase price of $21 U.S. per share, paid in cash, with an approximate total evaluation of about $6.2 billion. The price represents a premium of 28% over Friday’s close.
The acquisition is expected to close in the first half of 2022, subject to Vonage shareholder and other approvals. Vonage will become a wholly-owned subsidiary of Ericsson. Rory Reed will remain CEO and will join Ericsson’s executive team. Ericsson expects to retain all of Vonage’s 2,200 employees.
