Israeli IT solutions provider to telecom companies Amdocs Ltd. (Nasdaq: DOX) has announced that it has acquired UK company MYCOM OSI for $188 million cash. MYCOM OSI provides software-as-a-service (SaaS) solutions for control and security services for cloud-based communications networks for telecom companies. Amdocs said that the acquisition would expand its portfolio in network service assurance and monetization with comprehensive solutions for managing and optimizing network resources and the services on it.
MYCOM OSI delivers 5G assurance applications and solutions to multiple customers with 5G networks, as well as serving wireline operator networks, which are becoming increasingly virtualized, containerized and software defined. MYCOM OSI’s cloud-native solutions leverage the benefits of the cloud such as scalability, cost and reliability, and support the converged network-cloud ecosystem. MYCOM OSI operates in the same field as Israeli company Radcom (Nasdaq: RDCM), which is traded on Wall Street with a market cap of $158 million.
Amdocs will have no difficulties in financing the acquisition because it had $856 million in cash at the ned of the first quarter of 2022.
Amdocs president and CEO Shuky Sheffer said, "This is a strategic growth move that builds on our other recent successful acquisitions in the network and cloud space and executes on three of our core strategic pillars - intelligent network automation, 5G and cloud. As the network and services of the 5G era become increasingly dynamic and complex, a holistic, end-to-end approach is key and can only be achieved with a powerful AI-backed assurance solution suite."
Amdocs share price rose 0.30% to $84.62 on Nasdaq yesterday, giving a market cap of $10.438 billion, and is a further 1.63% higher in premarket trading.
Published by Globes, Israel business news - en.globes.co.il - on May 25, 2022.
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