KPN seals deal to acquire iBasis

After a long and sometimes bitter battle, KPN finally reached an agreement with iBasis to buy the remaining 44 percent share of the VoIP wholesale provider for $3 a share or $93 million in cash. iBasis' board has approved the terms--urging shareholders to finally accept the tender offer.

In November, a Special Committee of iBasis's Board of Directors, accepted KPN's revised offer, an almost $2 a share increase from the original $1.55 a share offer the Dutch telco made in July. KPN's final offer was a 130.8 percent premium over the $1.30 closing price of iBasis shares on July 10, 2009 (the last trading day before KPN made its initial tender offer). The Dutch telco already owns about a 56 percent share of iBasis. As part of the deal, KPN and iBasis are dismissing the suits they filed against each other in the Delaware Court of Chancery and the United States District Court for the Southern District of New York.

With the deal complete, KPN has appointed a new management to lead iBasis' growth strategy. Now a KPN subsidiary, iBasis' new management team will be headed up by John van Vianen as CEO of iBasis. Paul Floyd, iBasis' former Sr. VP of Products, Operations, and Network, becomes the company's Chief Operating Officer; Edwin van Ierland, formerly Sr. VP of Global Sales and Purchase, has been named Global Sales Officer. Meanwhile, Chief Financial Officer Dick Tennant, Chief Legal Officer Mark Flynn, and Vice President of Global Human Resources Tamah Rosker remain in their current roles.

KPN also appointed new members to iBasis' Board of Directors. The board now consists of Eelco Blok who has joined the board as chairman, while Joost Farwerck and John van Vianen have become directors.

For more:
- check out this article
- see the management restructuring release here

Related articles
KPN, iBasis finally come to terms
Top Telecom M&As for 2009
iBasis continues to mull KPN's upgraded offer
KPN ups ante to purchase rest of iBasis
KPN sets October deadline for iBasis bid

FREE DAILY NEWSLETTER

Like this story? Subscribe to FierceTelecom!

The Telecom industry is an ever-changing world where big ideas come along daily. Our subscribers rely on FierceTelecom as their must-read source for the latest news, analysis and data on the intersection of telecom and media. Sign up today to get telecom news and updates delivered to your inbox and read on the go.

Suggested Articles

The battle for SD-WAN supremacy remains fierce among vendors with VMware, Cisco and Fortinet holding down the top-three spots in Q3 market share.

Broadband remains a key asset as the coronavirus surges across the globe, which has led to a speedier transition to 1-Gig services.

Lumen CTO Andrew Dugan believes enterprise CIOs are turning to edge compute because it provides better performance for their applications.