Avaya to Get Bid From Rival Telecom Gear Vendor Mitel

Avaya Holdings Corp. is considering a bid from rival Mitel Networks that could create a telecommunications equipment vendor worth more than $5 billion including debt, people with knowledge of the matter said, Bloomberg News reported. The shares surged. Closely held Mitel submitted an offer for Avaya that it believes would value the combined business at more than $20 per share, according to the people. The companies have held on-and-off discussions about a potential deal since April, the people said, asking not to be identified because the matter is private. Under the terms being considered, Mitel’s investors would own roughly one-third of the combined business, which would remain publicly traded, one of the people said. Read more