Tuesday, November 15, 2005

LA Private Equity Firms Buy Enterasys

Leading router, switching, and security hardware provider Enterasys is going private in a $386M deal from two Los Angeles area private equity firms. Andover Massachusetts-based Enterasys Networks said yesterday that it has agreed to be purchased by Los Angeles-based The Gores Group and Santa Monica-based Tennenbaum Capital Partners. The move takes the hardware maker off the public market, and provides a 32 percent premium on Enterasys common stock. Enterasys was formerly Cabletron Systems. Enterasys is currently listed on the NYSE at ETS. The company said that the company's headquarters will remain in Andover, and the firm will be managed by current executive staff.