Nice Systems-Acme Packet Acquisition

[pic]

Faculty of Management

The Leon Recanati Graduate School of Business Administration

High Technology Acquisitions

Spring Semester 2009

Dr. Nir Breuller

Final Project:

To Acquire

Submitted By:

|303645899 |Adrian Lofer |

|031860398 |Ophir Levy |

|027276237 |Ran Raz |

Executive Summary

Table of Contents

Executive Summary 1

Strategic Rational 3

Companies Overview 3

NICE Systems 3

Acme Packet 4

NICE Systems Strategy 5

Strategic Roadmap 5

Technology trends and challenges 5

The Strategy behind the Acquisition 8

Value Creation 8

Synergy Analysis 9

Financial Evaluation 10

Acme Packet Financials 10

Acme Packet Stand Alone Valuation 11

Discounted Cash Flow 11

Comparables 12

Synergy Valuation 12

Discounted Cash Flow 13

Competition 14

Integration Approach 15

ACME Packet Organization Structure 15

Integration Model 15

Integration Plan and Time Tables 15

Key Success Factors 15

Appendixes 16

Appendix 1 – VoIP Market Analysis 16

Appendix 2 – NICE Systems Arena 17

Appendix 3 – ACME Packet Stand Alone Valuation 18

Appendix 4 – ACME – NICE Synergy Valuation 19

Appendix 5 – NICE Systems Financial Analysis 20

Appendix 6 – NICE Systems M&A History 21

Bibliography 22

Strategic Rational

Companies Overview

NICE Systems

NICE Systems (NASDAQ: NICE) is the leading provider of Insight from Interactions solutions and value-added services, powered by the convergence of advanced analytics of unstructured multimedia content and transactional data –...