Ceragon Networks Limited (Ceragon Networks). It has been announced today that Core Networks (NASDAQ: CRNT), one of the world's leading providers of 5G wireless transport solutions, has completed the previously announced acquisition of Siklu, a company that provides multi-gigabit "wireless fiber" connectivity to urban, suburban, and rural areas across the world.. It is expected that this acquisition will result in a more comprehensive, end-to-end offering that is ideal for small service providers and private networks around the world.. Ceragon will now have direct access to Siklu's established leadership position in the millimeter-wave market in North America, including the company's Fixed Wireless Access solution, as a result of the combination
Ceragon will now have direct access to Siklu's established leadership position in the millimeter-wave market in North America, including the company's Fixed Wireless Access solution, as a result of the combination
"This acquisition is expected to accelerate Ceragon's growth strategy by expanding our presence in the fastest-growing segments of the market and by improving our end-to-end solutions to better serve the evolving needs of private networks," said Doron Arazi, Ceragon's CEO.. Furthermore, I am confident that this acquisition will have a positive effect on our gross margins in the near-term and our profitability in the medium to long-term as a result of this acquisition. The talented and experienced Siklu team has been welcomed to Ceragon, and integration initiatives are well under way and are progressing according to plan.
The talented and experienced Siklu team has been welcomed to Ceragon, and integration initiatives are well under way and are progressing according to plan.
Ronen Ben-Hamou, Siklu's CEO, has joined Ceragon's management team in order to assist with integrating Siklu with Ceragon as smoothly as possible.
It should be noted that the terms of the transaction are substantially in line with the considerations previously disclosed.
Approximately $25-$29 million of revenue will be added by Ceragon as a result of the acquisition in 2024. As Siklu's margins are at levels much higher than Ceragon's historical margins, the acquisition is expected to be an accretive event for Ceragon's consolidated gross margins as Siklu's margins are at levels significantly higher than Ceragon's historical margins.. As a result of the combination, Ceragon management expects Siklu's results to improve, as Siklu will be able to leverage Ceragon's working capital management capabilities, as well as expand profitability due to the synergies created.. Management anticipates that the transaction will result in an increase in non-GAAP earnings by the second half of 2024 as a result of these business improvements. In early 2024, Ceragon plans to provide its 2024 guidance, which will be provided along with the release of Ceragon's fourth quarter results, in conjunction with the release of Ceragon's 2024 guidance.
In early 2024, Ceragon plans to provide its 2024 guidance, which will be provided along with the release of Ceragon's fourth quarter results, in conjunction with the release of Ceragon's 2024 guidance.
As part of this deal, Ceragon expanded its total loan credit facility by $5 million to $77 million in total, and Siklu's primary lender joined Ceragon's lending consortium as part of this deal. 
Ceragon Networks - A brief overview
It is owned and operated by Ceragon Networks Limited.. As a global innovator and a leading provider of 5G wireless transportation solutions, CRNTI (NASDAQ: CRNT). It is our mission to help operators and other service providers around the world increase operational efficiency and enhance the quality of the end user's experience by providing innovative wireless backhaul and fronthaul solutions. Among our customers, we have service providers, public safety organizations, government agencies, and utility companies, all of whom use our solutions as a means of ensuring high reliability and speed for 5G and 4G broadband wireless connectivity, multimedia services, stabilizing communications, and other applications.
Among our customers, we have service providers, public safety organizations, government agencies, and utility companies, all of whom use our solutions as a means of ensuring high reliability and speed for 5G and 4G broadband wireless connectivity, multimedia services, stabilizing communications, and other applications.

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