NEC to Acquire CSG, Strengthening Its Position as a Global Leader in Digital Transformation

Core Viewpoint - NEC Corporation is acquiring CSG Systems International, Inc. for US$80.70 per share, totaling an enterprise value of approximately US$2.9 billion, which represents a premium of 17.38% over CSG's closing price on October 28, 2025 [1][2]. Group 1: Transaction Details - The acquisition price of US$80.70 per share reflects a 23.07% premium to the volume-weighted average price of CSG stock for the 30 days ending October 28, 2025 [1]. - The transaction has been unanimously approved by the boards of both companies and is expected to close within the 2026 calendar year, pending customary closing conditions [4]. Group 2: Strategic Implications - This acquisition strengthens NEC's position in next-generation digital solutions and enhances AI and cloud-driven innovation for various industries [2][3]. - By integrating CSG's SaaS product portfolio and global customer base, NEC aims to deliver a more competitive offering in high-growth sectors such as media, financial services, healthcare, retail, and logistics [3]. Group 3: Complementary Strengths - The transaction will leverage the capabilities of NEC's subsidiary, Netcracker, which specializes in Business Support Systems (BSS) and Operational Support Systems (OSS), aligning well with CSG's strengths [3].