CHICAGO - Motorola Solutions Inc. (NYSE: NYSE:MSI), a key player in public safety and enterprise security, has reached an agreement with technology investment firm Silver Lake to settle outstanding senior convertible notes valued at $1B. The settlement, which involves a cash payment of approximately $1.59B from Motorola Solutions to Silver Lake, resolves the notes ahead of their original maturity date in September 2024.
The agreement follows a provision allowing Motorola Solutions to redeem a portion of the notes if its share price reached a certain level over a specified period. The company had previously indicated it might exercise this right, leading to the recent purchase agreement with Silver Lake.
Greg Brown, chairman and CEO of Motorola Solutions, highlighted the company's significant growth in revenue, earnings, and operating cash flow since the initial agreement with Silver Lake nearly nine years ago. Brown also mentioned the company's expansion through acquisitions and a quadrupled addressable market, positioning it for continued strong growth.
Greg Mondre and Egon Durban, co-CEOs of Silver Lake, praised the transformation of Motorola Solutions under Brown's leadership, which they characterized as a testament to his visionary approach and shareholder value creation. Both Mondre and Durban will maintain their roles on the Motorola Solutions board for the current term, with Mondre expected to be nominated for continued service.
This financial move comes as Motorola Solutions continues to build technologies that enable collaboration between public safety agencies and enterprises, aiming to enhance proactive safety and security measures across various sectors.
The details of the agreement will be disclosed in a Form 8-K filing with the U.S. Securities and Exchange Commission. This report is based on a press release statement from Motorola Solutions.
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