RTTNews | Nov 22, 2021 10:03AM EST

10:02 Monday, November 22, 2021 (RTTNews.com) - Shares of telecommunications services provider Vonage Holdings Corp. (VG) are up more than 24% in the morning trade on Monday on the news of its being acquired by Ericsson (ERIC) for about $6.2 billion to be paid in cash.

As per the deal, Ericsson will acquire all of Vonage's outstanding shares for $21 per share. This represents a premium of 28% to Vonage's closing share price on 19 November 2021 of $16.37 per share, and a premium of 34% to the volume-weighted average share price over the 3 months to 19 November 2021 of $15.71 per share.

Upon closing the transaction, which is expected within the first half of 2022, Vonage will become a wholly owned subsidiary of Ericsson, the company said.

Vonage Holdings shares are trading at $20.45 currently.

Read the original article on RTTNews ( https://www.rttnews.com/3244088/vonage-rallies-on-news-of-acquisition-by-ericsson.aspx)

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2021 RTTNews.com All Rights Reserved