Management and Supervisory Boards of ADVA Optical Networking resolve on the issuance of 551,471 ordinary shares to Juniper Networks in exchange for a USD 3.0 million investment
July 1, 2010.
ADVA AG Optical Networking and Juniper Networks, Inc. entered into an investment agreement today. Based on this agreement, the Management Board of ADVA Optical Networking resolved to issue 551,471 ordinary shares to Juniper Networks in exchange for a USD 3.0 million investment under exclusion of subscription rights of existing shareholders. Also today, the respective capital increase was approved by ADVA Optical Networking’s Supervisory Board. With this transaction, the number of ordinary ADVA Optical Networking shares outstanding increases by 1.2% to 46,963,728. Juniper Networks is obliged to hold the shares issued to them for at least 18 months from the day the related capital increase will be registered with the commercial register of ADVA Optical Networking. This obligation is subject to certain conditions, in particular that ADVA Optical Networking will remain independent.
In addition, the companies will evaluate the potential for jointly marketing and selling next-generation Internet Protocol (IP)-based transport solutions to service providers to help reduce network complexity and costs.
“Juniper Networks is a great partner with global reach and presence at all tier one accounts,” said Brian Protiva, chief executive officer at ADVA Optical Networking. “Their products have earned a fantastic reputation in the service provider community for delivering leading-edge performance for IP networking. Our innovative Optical+Ethernet transport solutions and open software framework make for an ideal foundation for Juniper’s portfolio of switches and routers.”
“ADVA Optical Networking has been recognized for delivering high-quality, and cost-effective optical transport products to market and shares a similar vision for enabling customers to benefit from improved economics,” said Stefan Dyckerhoff, executive vice president and general manager of Infrastructure Products Group at Juniper Networks. “Our investment will strengthen the relationship between both companies.”