Juniper Networks Inc. (NYSE:JNPR) has agreed to purchase networking and software technology developer Contrail Systems Inc. for approximately $176 million in cash and stock, according to a Fox Business article.
The acquisition is meant to enhance Juniper’s software networking capabilities and the deal is expected to close before the end of the year.
“As a strategic investor earlier this year, we recognized the inherent advantages of Contrail’s architectural approach and we are excited to take this next step to acquire and combine Contrail into our team, ” said Bob Muglia, executive vice president of Juniper’s software solutions division.
The company will pay around $57.5 million in cash as part of the deal.
The article added that Juniper, which already owns shares of Contrail, has also agreed to issue up to around 5.82 million of its shares to Contrail stockholders.
