Harris Corp. Sells Broadcast Communications Unit To The Gores Group
December 7, 2012 at 4:12 AM (PT)
HARRIS CORP. is selling its BROADCAST COMMUNICATIONS division to an affiliate of the GORES GROUP LLC for $225 million, consisting of $160 million in cash, $15 million in a promissory note, and $50 million in performance bonuses, Closing is expected in early 2013.
"The sale of BROADCAST COMMUNICATIONS reflects our strategy to optimize our business portfolio and focus on our core businesses," said HARRIS President/CEO WILLIAM M. BROWN. "As previously communicated, we plan to repurchase up to $200 million of our shares after the deal closes. This is in addition to the $200 million of share repurchases already planned for fiscal 2013 and reflects our ongoing commitment to effectively deploy capital, including returning cash to shareholders."
"In HARRIS BROADCAST COMMUNICATIONS, we are investing in a proven technology leader with great products and a great team. We are excited to provide the capital and support to transition this division to a strong and independent company further enabling it to continue developing and delivering market leading technologies to its customers," said THE GORES GROUP Managing Director RYAN WALD.