GENBAND Acquires Nortel's Carrier VoIP and Application Solutions Business

On May 28, 2010, GENBAND, Inc. acquired Nortel Networks Limited's Carrier VoIP and Application Solutions (CVAS) business for a purchase price of US$282 million, less balance sheet and other adjustments of approximately US$100 million for a net purchase price of approximately US$182 million, which is subject to post-close working capital adjustments. The total cost of ownership for GENBAND of the CVAS business is estimated to be in excess of US$400 million.

GENBAND teamed with one of its existing shareholders, One Equity Partners (OEP), to purchase the Nortel assets. Established in 2001, OEP manages $8 billion of investments and commitments for JPMorgan Chase & Co. in direct private equity transactions.

GENBAND is a leading developer of next-generation IP infrastructure solutions headquartered in Plano, Texas.

GENBAND was represented in the US by Latham & Watkins LLP led by David Allinson, and Baker Botts L.L.P. led by Don McDermett, Jr. and Curt Anderson; and in Canada by Stikeman Elliott LLP led by Ron Ferguson and including Gordon Cameron, Resham Ramchandani and Marc-André Wolfe (corporate/M&A); Sean Dunphy (bankruptcy); Shawn Neylan (regulatory); Lorna Cuthbert (employment); Andrea Boctor (labour and benefits); James Klein (real estate); Justine Whitehead, Alexandra Stockwell and Kim Alexander-Cook (intellectual property); and Marie-Andrée Beaudry and Josée Massicotte (tax).

Ogilvy Renault LLP acted as Canadian counsel to Nortel with a team that comprised Michael Lang (securities and M&A); Derrick Tay, Jennifer Stam and Ian Ness (insolvency); Eric Reither, Jeremy Grushcow and Brad Newman (corporate/M&A); Brian Gray (intellectual property); Martin Rochette (pensions & benefits); John Naccarato (real estate); Richard Wagner and Kevin Ackhurst (competition and Investment Canada); Anne Gallop (employment & labour); and Adrienne Oliver and Barry Segal (tax). Cleary Gottlieb Steen & Hamilton LLP acted for Nortel in the US. The Cleary Gottlieb team comprised James Bromley, Lisa Schweitzer, Sanjeet Malik, James Croft, Megan Fleming-Delacruz, Alan Feld, Joseph Lanzkron, Tamara Britt and Rebecca Weinstein (bankruptcy); Laurent Alpert, Victor Lewkow, John McGill, Casey Davison, Evan Schwartz and Amy Mikolajczyk (M&A); Craig Brod (securities and bankruptcy matters); Kathleen Emberger, Leah LaPorte and Stephanie Sun Hinderks (ERISA); Daniel Ilan, Mario Mendolaro, Carissa Alden and Antonia Carew-Watts (intellectual property); Margaret Sheer and Heather Johnson (antitrust matters); Kimberly Brown Blacklow, Jaime Phillip and Linda Thong (real estate); Sandra Flow, Flora Faby, Joshua Kalish and Anthony Randazzo (contract matters); John Konstant and Soo-Yeun Lim (transition services issues); and Jason Factor, Corey Goodman and Boris Khentov (tax).

Nortel's monitor in the CCAA proceeding, Ernst & Young Inc., was represented by Goodmans LLP with a team that included Jay Carfagnini, Joseph Pasquariello and Chris Armstrong (insolvency).

Lawyer(s)

Sean F. Dunphy Lorna A. Cuthbert Josée Massicotte Gordon N. Cameron Jennifer Stam Richard A. Wagner Ian A. Ness Alexandra Stockwell Martin Rochette D. John Naccarato Shawn C.D. Neylan Resham Ramchandani Brian W. Gray Anne K. Gallop Kim D.G. Alexander-Cook Eric P. Reither Jeremy Grushcow Justine M. Whitehead Joe Pasquariello Jay A. Carfagnini Marie-Andrée Beaudry Jason R. Factor Andrea Boctor Adrienne F. Oliver Michael J. Lang Craig B. Brod Kevin D. Ackhurst Derrick C. Tay Barry N. Segal Chris Armstrong Kathleen M. Emberger

Firm(s)

Latham & Watkins LLP Baker Botts LLP Stikeman Elliott LLP Norton Rose Fulbright Canada LLP Cleary, Gottlieb, Steen & Hamilton Goodmans LLP