Providence, Warburg Take Small Win on $1.15B Telcordia Deal

Providence Equity Partners and Warburg Pincus are exiting Telcordia Technologies after six years. Ericsson said today that it is buying the telecom services provider for $1.15 billion cash. Piscataway, N.J.-based Telcordia provides mobile, broadband and enterprise communications software and services. It produced $739 million revenue for the fiscal year ended Jan. 31, 2011. Providence and Warburg acquired Telcordia in 2005 for $1.35 billion. Each PE firm put in $150 million equity for a combined $300 million, a source says. The rest of the deal was paid using debt.

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