On Monday, the networking giant said the companies have entered into a definitive agreement over the buyout, which has also been approved by both the Cisco and BroadSoft boards of directors.
Cisco says that BroadSoft, a US cloud PBX, unified communications, team collaboration, and contact center solutions company will be utilized to offer enterprise clients a wider range of enterprise-based collaboration tools and solutions.
Cisco will pay $55 per share in cash in exchange for each BroadSoft share to finalize the $1.9 billion deal.
"Together, Cisco and BroadSoft will deliver a robust suite of collaboration capabilities across every market segment," said Rowan Trollope, senior vice president and general manager of Cisco's Applications Business Group. "We believe that our combined offers, from Cisco's collaboration technology for enterprises to BroadSoft's suite for small and medium businesses delivered through Service Providers will give customers more choice and flexibility."
Until the acquisition is complete, Cisco and BroadSoft will continue to operate independently. Once the buyout is finished, BroadSoft employees will join Cisco's Unified Communications Technology Group, under the Applications Group.
The buyout is expected to close in Q1 2018, following regulatory approval. (ZDNet.com)
