Short Take: Ciena: Foul play doomed Tellabs merger
Telecommunications equipment maker Ciena contends in a SEC filing that a rival's questionable activity drove down the company's stock value, dooming its planned merger with Tellabs. Tellabs was set to acquire Ciena in a $6.9 billion stock deal but the price was renegotiated to $4.7 billion as Ciena's stock fell and finally canceled. Ciena suspects foul play because two prospective product deals were canceled shortly before the merger was finalized.
Telecommunications equipment maker contends in a SEC filing that a rival's questionable activity drove down the company's stock value, dooming its planned merger with Tellabs. Tellabs was set to acquire Ciena in a $6.9 billion stock deal but the price was renegotiated to $4.7 billion as Ciena's stock fell and finally canceled. Ciena suspects foul play because two prospective product deals were canceled shortly before the merger was finalized.