Sonus Networks, Inc. Announces Completion of Sonus and GENBAND Mergers

Sonus Networks, Inc., a global leader in secure and intelligent cloud communications, disclosed the completion of the Sonus and GENBAND mergers — following which each became a wholly-owned subsidiary of a parent company formed for purposes of the transaction — and that it has begun conducting business as Ribbon Communications. The company will continue to trade on the Nasdaq Global Select Market under the ticker SONS until its new corporate name, (Ribbon Communications Inc.) and its new ticker symbol (RBBN) become effective, which is anticipated to be by the end of 2017.

The transaction is a merger of equals, and former Sonus and GENBAND shareholders each own approximately 50% of the parent company, which had approximately 102 million shares outstanding post close.  GENBAND’s former equity holders also received a $22.5 million unsecured note as part of the transaction consideration. The combined company is expected to realize annual cost synergies of $40 million to $50 million in 2018, and to drive solid cash flow from operations in the first year after closing.

“Today is a tremendous day as we bring together two companies that have been at the forefront of real-time communications into a single, unified entity focused on serving our customers and moving the industry forward,” said Ray Dolan, president and chief executive officer of Ribbon Communications. “Our new name offers a fresh start and embodies our ambition to build one of the largest, most innovative, dedicated and secure global real-time communications organizations on the market. In today’s complexly woven world, we deliver the secure, immersive, contextual experiences that enhance our lives. I’m privileged to lead this new team – together we are stronger than ever and ready to help bring the digital future to life.”