SAN JOSE, Calif., Oct. 30, 2017 /PRNewswire/ -- Extreme
Networks, Inc. (NASDAQ: EXTR) today announced that it has completed
its acquisition of Brocade Communications Systems, Inc.'s (NASDAQ:
BRCD) data center switching, routing and analytics business.
Brocade's portfolio provides Extreme with an industry leading data
center solution used by enterprises and service providers, supports
the company's growth strategy to lead the networking industry from
the data center to the wireless edge, and secures Extreme's
position as a top player in the enterprise networking market. This
is the third in a series of acquisitions announced by Extreme in
the last year, including its acquisition of Zebra Technologies'
WLAN business and Avaya's networking business.
"This is an exciting day for Extreme as we have now
significantly strengthened our position in the expanding high-end
data center market with the industry leading solution for
enterprise customers," said Ed
Meyercord, President and CEO of Extreme Networks. "Through a
series of synergistic acquisitions, Extreme is now a top player in
the enterprise networking industry and expects to generate over
$1 billion in annual revenues.
Today's announcement is not only a significant milestone for our
growth strategy, but it also allows us to assist more customers
around the globe with end-to-end software-driven solutions to drive
their digital transformation initiatives."
With the close of this acquisition, Extreme acquires customer
relationships, personnel and technology assets from Brocade
including the SLX, VDX, MLX, CES, CER, Workflow Composer,
Automation Suites, and certain other data center related products.
The acquisition enhances Extreme's data center solutions used by
enterprises and service providers across industries such as
education, hospitality, healthcare, retail, transportation and
logistics, manufacturing and government.
"Our strategic vision has been closely aligned with Extreme
Networks' vision throughout this process," said Nabil Bukhari, Vice President, Data Center,
formerly of Brocade and now with Extreme Networks. "Extreme's
commitment to build on the innovation and momentum that we have
achieved, including a completely refreshed data center portfolio
over the past year, will provide our new and existing customers and
partners with business continuity that enables them to accelerate
digital transformation. Extreme and Brocade are excited to
work closely together through the integration process to ensure a
smooth transition and our world-class data center team is excited
to have joined the Extreme family."
Extreme continues to anticipate the transaction will be
accretive to cash flow and earnings for its fiscal year 2018, which
began on July 1, and expects to
generate over $230 million in
annualized revenue from the acquired assets.
Additional Resources
- Webinar: Extreme's IP Networking Strategy
- Video: Welcome to the New Extreme
- Extreme Acquisitions & Integrations Page
- Extreme Brocade Acquisition Announcement
- Avaya Networking Closing Announcement
- Extreme Brocade Update Announcement
About Extreme Networks
Extreme Networks,
Inc. (EXTR) delivers software-driven networking solutions that
help IT departments everywhere deliver the ultimate business
outcome: stronger connections with customers, partners and
employees. Wired to wireless, desktop to data center, on premise or
through the cloud, we go to extreme measures for our customers in
more than 80 countries, delivering 100% insourced call-in technical
support to organizations large and small, including some of the
world's leading names in business, hospitality, retail,
transportation and logistics, education, government, healthcare and
manufacturing. Founded in 1996, Extreme is headquartered
in San Jose, California. For more information, visit
Extreme's website or call 1-888-257-3000.
Extreme Networks and the Extreme Networks logo are
either trademarks or registered trademarks of Extreme
Networks, Inc. in the United States and/or other
countries. Other trademarks are the property of their
respective owners.
Forward Looking Statements
Except for the
historical information contained herein, the statements in this
release, including those concerning Extreme's acquisition of the
Brocade assets, its business outlook, future financial and
operating results, including Extreme's expectations for projected
annual revenues, annualized revenue from the acquired assets and
the transaction's accretive value, and Extreme's overall future
prospects are "forward-looking statements" within the meaning of
the "safe harbor" provisions of the Private Securities Litigation
Reform Act of 1995. These forward-looking statements speak only as
of the date of this release. Actual results or events could differ
materially from those anticipated in those forward-looking
statements as a result of certain factors, including: our ability
to successfully integrate the Brocade networking business into the
current Extreme business; failure to achieve targeted revenues and
forecasted demand from end customers; a highly competitive business
environment for network switching equipment; the possibility that
we might experience delays in the development or introduction of
new technology and products; customer response to our new
technology and products; and a dependency on third parties for
certain components and for the manufacturing of our
products.
More information about potential factors that could affect
Extreme's business and financial results is included in Extreme's
filings with the U.S. Securities and Exchange Commission,
including, without limitation, under the captions: "Management's
Discussion and Analysis of Financial Condition and Results of
Operations," and "Risk Factors." Except as required under
the U.S. federal securities laws and the rules and
regulations of the U.S. Securities and Exchange
Commission, Extreme Networks disclaims any obligation to
update any forward-looking statements after the date of this
release, whether as a result of new information, future events,
developments, changes in assumptions or otherwise.
View original content with
multimedia:http://www.prnewswire.com/news-releases/extreme-networks-completes-acquisition-of-brocades-data-center-networking-business-300545247.html
SOURCE Extreme Networks, Inc.