NAPERVILLE, Illinois (AP) — Communications equipment maker Tellabs has agreed to be acquired for $891 million by investment firm Marlin Equity Partners.
The deal announced Monday calls for Marlin to buy all of Tellabs shares for $2.45 each. The stock had closed at $2.35 on Friday, and rose 12 cents, or 5.1 percent, to $2.47 in premarket trading
A tender offer is expected to begin by Nov. 1. The deal is expected to close during the fourth quarter. It requires at least half of Tellabs' outstanding shares to be tendered.
Tellabs chairman Vince Tobkin said the board decided to sell after looking at its options and after contacting more than 30 potential buyers. Tellabs is based in Naperville, Illinois.
Marlin Equity Partners partner Nick Kaiser said plans include making "significant investments in research and development" at Tellabs.
Most Popular Stories
- Twitter Coming to Phones Without Internet
- Twitter Names Woman to Board
- Rand Paul Signs up for Obamacare
- Thalia Gets Star on Hollywood Walk of Fame
- How to Arm Yourself Against CryptoLocker Virus
- Obamacare Doing Just Fine, Ky. Governor Says
- Warner Bros. Unleashes 'Hobbit: Desolation of Smaug' Merchandise
- World Cup Draws: Coaches, Players Offer Insights
- Texas Chiller Moves East
- Hispanic Employment Improves in November