Cisco plans to acquire NDS Group Limited.
Under the terms of the agreement, Cisco will pay approximately $5 billion, including the assumption of debt and retention-based incentives, to acquire all of the business and operations of NDS. The acquisition has been approved by the boards of directors of both companies.
The acquisition is expected to close during the second half of calendar year 2012, subject to customary closing conditions, including regulatory review in the United States and elsewhere. The net impact to Cisco is expected to be accretive to EPS in the first full year on a non-GAAP basis.
The acquisition of NDS will complement and accelerate the delivery of Videoscape, Cisco?s platform that enables service providers and media companies to deliver next-generation entertainment experiences. Acquiring NDS will broaden Cisco?s opportunities in the service provider market, expanding its reach into emerging markets, such as China and India, where NDS has an established customer footprint.
