Nortel Networks (NT) acquires Alteon WebSystems (ATON)

   *  Amount:         $7.8 billion

   *  Terms:            100% stock

   *  Premium:        n/a

   *  Industry:        Speed/Bandwidth

   *  Scorecard:      B-

BOSTON, July 28--Nortel Networks announced a definitive agreement to acquire San Jose, Calif.-based Alteon WebSystems, a leader in content aware switching, positioning Nortel Networks as a leader in delivering high-performance Internet data centers. Nortel will pay an estimated US $7.8 billion in its common shares or a fixed exchange ratio of 1.83148 Nortel common shares for each share of Alteon WebSystems common stock. The transaction is expected to close in the fourth quarter of 2000.

 

 NTL (NTLI) to acquire Virgin.net's ISP arm

   *  Amount:         $362 million

   *  Terms:            cash and stock

   *  Premium:        n/a

   *  Industry:        ISPs/Access providers

   *  Scorecard:      B+

LONDON, July 28--British firms NTL Inc. and Virgin Group agreed to split up their joint venture, Virgin.net, in a deal which will see NTL take over the unit's Internet Service Provider (ISP) business. Cable operator NTL will pay cash and shares for its acquisition of 100% of Virgin.net's ISP arm, in a deal worth $362 million, while Virgin, chaired by UK entrepreneur Richard Branson, will assume 100% ownership of Virgin.net's content and commerce business. NTL said the acquisition would make it the UK's third largest ISP, behind Freeserve and AOL.