News: UK police and emergency services network provider bought outright.
Motorola Solutions has agreed to acquire British mobile communication firm Airwave Solutions for £817.5m.
Headquartered in Berkshire, England, Airwave delivers mission-critical voice and data communications to over 300 emergency and public service agencies in the UK.
Airwave, which employs about 600 people, is owned by a fund of Australia’s Macquarie Group.
The company has invested £1.4bn to create the Airwave Network for meeting the needs of emergency services.
Motorola Solutions is providing terrestrial trunked radio technology for the network, which covers 99% of the UK’s landmass and is interoperable.
Motorola intends to fund the agreement with bank financing and cash on hand. The deal is expected to add to the company’s adjusted earnings and free cash flow immediately after closing in the first quarter of 2016.
Motorola Solutions chairman and CEO Greg Brown said: "The combination of our years of experience as a trusted global leader in mission-critical communications and Airwave’s proven service delivery platform will provide Great Britain with innovative emergency services technology that enhances public safety today and into the future."
US-based Motorola Solutions delivers, manages and operates large-scale and complex public safety networks globally.
Airwave last month filed a legal challenge to the Home Office after EE was chosen as preferred supplier to provide mobile communications to UK emergency services through its 4G network.
Airwave cited procurement concerns and the inability of the cellular network to handle the traffic. Currently these services are provided through Airwave’s own terrestrial trunked radio.
Motorola itself is the preferred bidder for user services to the emergency services.