Cisco Systems Inc - Company Business and Marketing - Brief Article

CommunicationsWeek International, July 17, 2000

Cisco Systems Inc., San Jose, California, and a group of investors, have agreed to buy 80% of Italtel, Telecom Italia's computer network equipment unit, for $765 million. After the completion of the transaction, Cisco and Telecom Italia will each own 19% of the company, while Clayton Dubilier Rice, a U.S.-based private equity company, will hold a 50.1% stake.

The deal is subject to regulatory approval. Telecom Italia and Cisco also announced a strategic alliance to develop the use of Internet and IP applications.