March 15, 2005 San Diego, CA -- Science Applications International Corporation (SAIC), a research and engineering firm, today completed the sale of its wholly-owned subsidiary Telcordia Technologies, a provider of telecommunications software and services, to an affiliate of Providence Equity Partners (Providence) and Warburg Pincus (Warburg) for approximately $1.35 billion in cash, subject to certain adjustments.
"Telcordia and its employees are poised to make meaningful contributions to an exciting and dynamic industry," remarks Ken Dahlberg, SAIC chairman and CEO. "We believe its value will be greatly enhanced by new ownership under Providence and Warburg, and that SAIC received a fair purchase price that reflects Telcordia's bright prospects."
SAIC purchased Telcordia from the Regional Bell Operating Companies (RBOCs) in November 1997.
"The sale will strengthen SAIC's balance sheet and better enable us to pursue more focused strategic initiatives," concludes Dahlberg.