Capital Markets: Sprint Nextel financing, acquisitions, quarterly results

Sprint Nextel financing update. Spring Nextel Corp. said it entered a new $2.1 billion unsecured revolving credit facility, which expires in October 2013 and replaces an existing $4.5 billion revolving credit facility that would have expired this year. The new credit facility will provide supplemental liquidity for general corporate purposes and will be used to support the $1.6 billion letter of credit required by the Federal Communications Commission’s Report and Order to reconfigure the 800 MHz band, said the company.
Motorola Inc. said it has commenced cash tender offers to purchase up to $400 million aggregate principal amount of certain of its outstanding debt securities. The tenders consist of an Any and All offer and a Dutch Auction offer.
Movidius, a mobile video company, said it secured $7.5 million in series B investments. Existing shareholders Celtic House Venture Partners, Capital E, Emertec Gestion, AIB Seed Capital Fund and angel investors participated in the round. The company said it will use the funds for its growth plans as it prepares to deploy its Myriad platform.
Sonim Technologies announced $9 million in Series 4 financing, led by Verdoso Industry and Waveland Capital Groups. The company said it will use the funding to expand sales and marketing efforts worldwide and to accelerate development of three new phone models.
Symantec Corp. has agreed to buy the authentication services business of VeriSign Inc. for $1.28 billion in cash. The business includes the Secure Sockets Layer encryption certification services, the managed Public Key Infrastructure platform and the company’s ownership stake in VeriSign Japan. The transaction is expected to close within three months.
UTStarcom Inc. sold its IP Messaging and US PDSN assets to NewNet Communication Technologies, which provides text messaging and network signaling solutions for wireless, IP, and wireline networks. According to the agreement, NewNet Communication Technologies will also become a reseller of the UTStarcom core IP-based product portfolio in the North America and Latin American regions. Terms of the agreement were not disclosed. The transaction is expected to close in June of 2010.
Cisco announced it plans to acquire CoreOptics Inc., a privately held designer of digital signal processing solutions. Cisco said the acquisition will allow it to provide its customers with 100 Gigabits per second transmission technology. Cisco will pay about $99 million in cash and retention-based incentives for all shares of CoreOptics.
Oak Hill Capital Partners completed its acquisition of colocation and managed services company ViaWest. As part of the deal, GI Partners also made a minority investment in the company. Financial terms of the deal were not disclosed. Royal Bank of Canada arranged senior debt financing in conjunction with the deal.
Aruba Networks reported first-quarter results, including revenues of $69 million, a 51% increase from revenues of $45.8 million during the same period last year. Net loss for the quarter was $5.3 million, or 6 cents per share, compared with a net loss of $34.4 million, or 39 cents per share, reported during the same period a year ago.
InterDigital Inc. issued second-quarter guidance. The company said it expects revenues to be in the range of $81 million to $83 million for the quarter.