Plantronics exploring sale after Polycom acquisition

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Plantronics exploring sale after Polycom acquisition

Plantronics is reportedly considering a sale of the company, among other options, following its $2 billion acquisition of unified communications player Polycom in July.

The Thursday report came from Reuters, which cited people familiar with the matter. The news outlet's sources said it's uncertain if current discussions would result in an actual sale of the company, which declined to comment to Reuters.

CRN USA has reached out to Plantronics for comment.

The news comes after Plantronics, a communications equipment specialist, scooped up UC provider Polycom over the summer — a deal that was expected to keep both companies separate indefinitely. Plantronics said at the time of the deal closing that the acquisition would encourage better interoperability across the entire UC and collaboration market.

In Plantronics' second-quarter earnings results, reported on Tuesday, the company missed Wall Street targets for earnings by 31 cents and revenue by US$23 million. The company said GAAP net revenue for Q2 2019 grew over 100 percent to US$483 million as a result of the Polycom acquisition.

“The combined company delivered solid results above the midpoint of our guidance in our first consolidated quarter,” Joe Burton, president and CEO of Plantronics, said in in the company's Q2 earnings release. "We believe that these results demonstrate the very beginning of our compelling opportunity as a combined company, driven by unified communications. As we integrate and bring new products to market, leveraging our combined strengths, we further believe that we are positioning the company for both near-term and long-term success."

Plantronics' stock price was up more than 4 percent Thursday afternoon to US$61.44 following Reuters' report.

This article originally appeared at crn.com

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