Time Warner Cable Inc. on Tuesday revealed an agreement to acquire managed IT services provider NaviSite, Inc. in a transaction valued at roughly $230 million.
New York-based TWC said it is acquiring NaviSite for $5.50 per share, reflecting a 33 percent premium to NaviSites closing price on Tuesday.
In a press release, TWC said the acquisition gives it an immediate presence in the managed services market with NaviSites more than 1,200 customers.”
Based in Andover, Mass., NaviSite provides enterprise-class hosting, managed application, messaging and cloud services. The company employs 570 people worldwide, operates 10 data centers in the United States and United Kingdom and posted roughly $126 million in annual revenues for the fiscal year 2010 ending July 31, 2010.
TMC expects the acquisition to close in the second calendar quarter of 2011 following NaviSite stockholder approval and other closing conditions.