Canadian business communications vendor Mitel is offering $540 million for ShoreTel, a U.S.-based competitor, going public with the bid after saying it was snubbed earlier this month.

Mitel and ShoreTel sell enterprise phone systems and unified communications software and services. Mitel says the industry is consolidating and it wants to be a consolidator. In January, Mitel completed its acquisition of Aastra, another Canadian communications company.

Mitel is offering $8.10 per share in cash for ShorTel, which it says is a premium of 24% over Friday’s ShoreTel share price. In a letter sent Monday to ShoreTel’s board of directors, the company said it had proposed a buyout to the board on Oct. 2 that was rejected. Its current offer is open until Nov. 20, Mitel said.

To read this article in full or to leave a comment, please click here