Motorola Solutions Inc. (MSI: Quote) and Psion Plc (PON.L) have agreed on the terms of a recommended offer by Motorola Solutions for all Psion shares for 88 pence or $1.36 in cash per Psion share. It is planned that the acquisition would be effected by way of a recommended cash offer.
Pursuant to the acquisition, Psion shareholders would receive 88 pence or $1.36 in cash for each Psion share through a recommended cash offer, valuing Psion's issued ordinary share capital at nearly 129 million pounds or $200 million. The consideration represents a premium of some 45 percent to the closing price of 60.5 pence per Psion share on June 14, 2012, the last trading day prior to this announcement and a premium of around 66 percent to the six-month average price of 52.9 pence per Psion share prior to June 15, 2012.
Also, Motorola Solutions anticipates to realize cost and revenue synergies resulting in margin expansion opportunities and expects the transaction to be accretive to earnings per share on a non-U.S. GAAP basis in the first full year following completion and on a U.S. GAAP basis in the second full year following completion. The acquisition may close in the fourth quarter of 2012.
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by RTT Staff Writer
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