Francisco Partners to invest in Ericsson's iconectiv business
- Francisco Partners to invest in iconectiv, an independent subsidiary owned by Ericsson
- Francisco Partners will invest USD 200 million to acquire a 16.7% ownership at an implied total valuation of iconectiv of approximately USD 1.20 billion
- Partnership will enable further development and growth of iconectiv and drive shareholder value
Ericsson (NASDAQ: ERIC) has secured a minority investment in its iconectiv business from Francisco Partners, a leading technology investment firm. iconectiv is a leading partner in the communications industry enabling the interconnection of networks, devices, and applications for more than two billion people every day. The partnership between Ericsson and Francisco Partners will enable iconectiv to accelerate growth and deliver shareholder value.
Headquartered in the United States, iconectiv develops market-leading solutions that enable operators to interconnect networks. The company’s solutions are used by more than 1,200 service providers, regulators, enterprises, and content providers worldwide. iconectiv is also the global leader in providing numbering solutions and most recently was designated by the U.S. Federal Communications Commission to serve as the Local Number Portability Administrator in the U.S.
Per Borgklint, Senior Vice President, Chief Innovation Officer and Head of Business Unit Media, Ericsson, says: “Having a U.S. partner as co-owner strengthens our ability to further grow iconectiv’s business and create value in a dynamic market.”