NTT to Acquire Verio for $5.5 Billion

NTT Communications, a unit of Nippon Telegraph & Telephone (NTT Quote), announced this evening that it will acquire Web-site manager Verio (VRIO Quote) for $5.5 billion, or $60 a share.

On Friday, Verio shares closed at 35 15/16. NTT closed at 66 1/4.

In a release, NTT said that the deal will be closed by the third quarter of this year.

NTT announced that it would initiate a tender offer for Verio shares beginning by May 17. The company further said that the $5.5 billion price does not include the $500 million, the company has already invested in Colorado-based Verio. The $500 million gained NTT a 10% stake in Verio. The $5.5 billion buys the remaining 90%. ...