12.06.2012 09:30 AM
Harris to sell Broadcast Communications division for $225 million
An affiliate of The Gores Group, a Los Angeles-based private equity firm, will buy the division for $160 million in cash and other consideration.

Harris announced today that it will sell its Broadcast Communications division to an affiliate of The Gores Group, a Los Angeles-based private equity firm, for $225 million.

The deal, which is expected to close in early 2013, is the culmination of an effort to sell the Broadcast Communications division announced on May 1, 2012.

The transaction includes $160 million in cash, a $15 million subordinated promissory note and an earn-out of up to $50 million based on future performance. The deal is subject to regulatory review.

"In Harris Broadcast Communications, we are investing in a proven technology leader with great products and a great team,” said Ryan Wald, managing director of The Gores Group. “We are excited to provide the capital and support to transition this division to a strong and independent company, further enabling it to continue developing and delivering market-leading technologies to its customers."  

According to William Brown, president and CEO of Harris, the sale is part of a strategy to focus on its core businesses.

“As previously communicated, we plan to repurchase up to $200 million of our shares after the deal closes,” said Brown. “This is in addition to the $200 million of share repurchases already planned for fiscal 2013 and reflects our ongoing commitment to effectively deploy capital, including returning cash to shareholders."

Post New Comment
If you are already a member, or would like to receive email alerts as new comments are
made, please login or register.

Enter the code shown above:

(Note: If you cannot read the numbers in the above
image, reload the page to generate a new one.)

No Comments Found

Tuesday 03:07 PM
WMUR-TV Says FAA Drone Rules Preclude ENG
The FAA’s current rules and proposed ban on flight over people, requirement of visual line of sight and restriction on nighttime flying, effectively prohibit broadcasters from using UAS for newsgathering. ~ WMUR-TV General Manager Jeff Bartlett

Featured Articles
Exhibitions & Events
Discover TV Technology