November 18, 2004
In one of the largest ever software buyouts, Science Applications International Corporation (SAIC) announced the sale of its telecommunications software and services subsidiary, Telcordia Technologies, Inc., to Providence Equity Partners and Warburg Pincus for $1.35 billion.
In one of the largest ever software buyouts, Science Applications International Corporation (SAIC) announced the sale of its telecommunications software and services subsidiary, Telcordia Technologies, Inc., to Providence Equity Partners and Warburg Pincus for $1.35 billion. Willkie's multidisciplinary team represented Providence and Warburg, as equal equity investors in the transaction. Telcordia was established as the central services organization as part of the 1984 break-up of AT&T to serve the newly-created RBOCs and to allow the RBOCs to share the costs of ongoing engineering, administrative and other services in support of their systems. It was named Bellcore by the RBOCs, until it was acquired by SAIC in 1997, when its name was again changed to Telcordia. Today, Telcordia carries 80 percent of the nation's telephony traffic and all of its toll-free traffic. As noted in the December 2 New York Law Journal, attorneys on the transaction included Steven Gartner, Nicole Napolitano and Jose Rivera for Corporate, Kim Walker and Emily Schoenbraun for Intellectual Property, Andrew Needham and Eric Lowenstein for Tax, William Hiller and Geoffrey Peck for the credit agreements, Frank Daniele and David Rubinsky for Executive Compensation and Employee Benefits and Andrew Wurzburger for Real Estate.
