Cabletron Systems this week announced that Silver Lake Partners has increased its investment in the company and its four subsidiaries.
Silver Lake has agreed to purchase an additional $25 million of Cabletron Preferred Stock having a conversion price of $30 per share, as well as additional warrants to purchase 200,000 shares of Cabletron Common Stock at an exercise price of $35 per share.
In February, Silver Lake said it would invest up to $200 million in Cabletron and its four companies - Aprisma, Enterasys, Global Network Technology Services (GNTS) and Riverstone Networks. At that time, Silver Lake agreed to purchase $65 million of Cabletron Preferred Stock having a conversion price of $40 per share, as well as 250,000 warrants to purchase Cabletron Common Stock at an exercise price of $45 per share.
In addition, Silver Lake has increased the percentage of its potential equity stake in each of the Cabletron companies from 3% to 3.5%.
Meanwhile, GNTS recently acquired three companies to broaden its portfolio of network infrastructure integration and consulting offerings. The company acquired the consulting practice of ProLink Systems, Tie-Line Consultores Associados and Georetiary Networks.
ProLink is a value-added reseller specialising in wireless networks. Tie-Line's forte is in systems management, while Georetiary's skills are in Internet-related applications, such as security services, virtual private networks, network architecture and remote network management.
GNTS did not disclose the financial terms of its acquisitions.