Cisco finally set for Tandberg buy

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Cisco finally set for Tandberg buy

Gets 90 percent controlling stake.

Networking giant Cisco has finally managed to gain control of enough shares in Tandberg to purchase the Norwegian videoconferencing firm outright.

The US$3.4bn ($3.7bn) deal has been delayed several times as Tandberg shareholders held out for a better offer from Cisco.

In mid-November Cisco raised its offer to the shareholders from US$3bn to US$3.4bn and extended the deadline to 1 December.

This move went against the company's previous statement in early November when the firm's chief strategy officer Ned Hooper said, "We strongly believe our offer is a very good price for Tandberg shareholders."

Earlier this week the networking giant said it had the backing of 84 percent of shareholders in the Norwegian company, but still needed six more percent to pass the 90 percent threshold needed to complete a takeover.

"As a result of additional acceptances registered today, Cisco hereby announces that approximately 99.8 million shares have been tendered, representing 89.1 percent of the outstanding shares in Tandberg,” the firm said in a statement.

“In addition, Cisco has on November 18 and 20, 2009, purchased a total of 2,238,600 shares in Tandberg, corresponding to 2.0 percent of the outstanding and issued shares. The shares tendered, combined with shares owned, currently represent approximately 102 million shares, or approximately 91.1 percent of the shares and voting rights in Tandberg.”

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