Comcast to invest $150M in Suwannee-based Arris
Comcast Corp. will invest $150 million in Suwanee-based set top maker ARRIS Group Inc.
ARRIS (NASDAQ: ARRS) makes the hardware and software that allows cable companies to deliver video, Internet and phone service into homes and businesses.
ARRIS will sell about 10.6 million shares of its common stock. The sale of the shares to Comcast will be made in connection with the previously announced ARRIS acquisition of the Motorola Home business from Motorola Mobility, a subsidiary ofGoogle Inc. In December, ARRIS said it will acquire Motorola's set-top television business for $2.35 billion.
As a result of the sale to Comcast, Comcast and Google will each own about 7.85 percent of the outstanding ARRIS shares.
"We believe this investment by one of our largest customers is a strong indication of customer support for the Motorola Home acquisition and its potential to accelerate innovation to the benefit of the industry and consumers," Arris CEO Bob Stanzione said.
Motorola Home was a acquired by Google Inc. in May as part of the Internet giant's $12.5 billion takeover of Motorola Mobility.
Acquiring Motorola Home will boost broaden ARRIS' consumer video products and services offerings. The transaction will increase ARRIS' patent portfolio and provide a license to a wide array of Motorola Mobility patents.Written by: Urvaksh Karkaria Staff Writer- Atlanta Business Chronicle