Ericsson has agreed to purchase U.S.-based world cloud-communications supplier Vonage
VG,
-2.09%
for $21 a share, with an enterprise worth of $6.2 billion, the businesses introduced on Monday. The deal has been unanimously authorized by Vonage’s board of administrators, and can construct on Ericsson’s goals to develop globally in wi-fi enterprise, “providing current prospects an elevated share of a market valued at $700 billion by 2030,” the Swedish telecoms-equipment maker stated. The cloud-based Vonage Communications Platform (VCP) has over 120,000 prospects and a couple of million registered builders globally. Ericsson stated the transaction could be earnings and free cashflow accretive earlier than mergers & acquisitions from 2024 onwards. Vonage closed Friday at $16.37 per share. Ericsson shares fell 3.4% in Europe.

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