Ceragon Networks Ltd, known for its solutions in 5G wireless transport, has completed its acquisition of Siklu, a company focused on multi-Gigabit "wireless fiber" connectivity. Financial terms of the deal were not disclosed.
This is technology M&A deal number 321 that ChannelE2E and MSSP Alert have covered so far in 2023. See more than 2,000 technology M&A deals for 2023, 2022, 2021, and 2020 listed here.
Ceragon, founded in 1996, is based in Richardson, Texas. The company has 1,759 employees listed on LinkedIn. Cegagon’s areas of expertise include LTE, 4G networks, microwave radio, backhaul, wireless backhaul, mobile backhaul, 5G backhaul, fronthaul, LTE backhaul, 5G, mobile, ISP, telco, public safety communications, open networks, disaggregated cell site gateway, wireless fronthaul, wideband, millimeter band, managed services, wireless transport, rural broadband, and offshore.
Siklu, founded in 2008, is based in Irvine, California. The company has 94 employees listed on LinkedIn. Siklu’s areas of expertise include mobile backhaul - macro and small cells, WISP networks, wireless surveillance networks, fiber extension / backup, street level networks, municipal wireless, Wi-Fi backhaul, campus connectivity, smart city, residential broadband - gigabit to the home (GTTH), 5G, fixed wireless access, 5G wireless broadband, smart city, homeland, and IP security cameras.
Strategic Growth and Market Expansion
This acquisition represents a significant step in broadening Ceragon's end-to-end offerings, particularly targeting small service providers and private networks globally, according to the company. The move grants Ceragon immediate access to Siklu's millimeter-wave market in North America, including its fixed wireless access offerings.
Ceragon anticipates the acquisition to positively impact its revenue by approximately $25-$29 million in 2024. This acquisition is also expected to enhance Ceragon's consolidated gross margins, as Siklu's margins are substantially higher than Ceragon's historical averages.
Siklu CEO Ronen Ben-Hamou will join Ceragon's management team to help ensure a smooth integration process, the company said.
Ceragon Acquires Siklu: Additional Insights
Doron Arazi, CEO of Ceragon, commented:
"This acquisition is expected to accelerate our growth strategy by expanding our presence in the fastest-growing segments of the market and enhancing our end-to-end solutions to better address the evolving needs of private networks. We anticipate positive impacts on our gross margins in the near-term and profitability in the intermediate to long-term."
