Ceragon Networks Ltd Stock Price, News & Analysis

Aviat Networks, Inc. (AVNW) has issued an open letter urging Ceragon Networks Ltd. (CRNT) shareholders to advocate for the acceptance of Aviat's acquisition proposal. Aviat highlights Ceragon's poor stock performance, down 12% over five years versus a 33% gain for the Russell 2000, and a decline in gross margins from 34% to 30%. Additionally, Ceragon faces $42 million in negative free cash flow. Aviat criticizes the current leadership's mismanagement, especially regarding delays in developing a next-generation chip, and calls for board changes to ensure better oversight and strategic direction.

Aviat Networks, Inc. (NASDAQ: AVNW) issued an open letter to the Board of Ceragon Networks Ltd. (NASDAQ: CRNT) urging the scheduling of an extraordinary general meeting. As Ceragon's third-largest shareholder, Aviat, holding over 5% of shares, seeks to replace three directors with five new independent candidates. Aviat expressed disappointment over Ceragon's lack of engagement regarding its acquisition proposal, emphasizing the need for transparency and accountability for shareholders.

Ceragon Networks Ltd. (NASDAQ: CRNT) confirmed receipt of letters from competitor Aviat Networks, requesting an extraordinary general meeting to propose changes to Ceragon's Board of Directors. Aviat's letters hinted at a potential acquisition interest in Ceragon. The Board will review these proposals with its advisors and act in the best interests of the company and shareholders. Importantly, shareholders are advised that no action is required from them at this time, allowing them to await the Board's response.

Aviat Networks, Inc. (NASDAQ: AVNW) is pushing for significant changes at Ceragon Networks Ltd. (NASDAQ: CRNT), calling for an extraordinary meeting to restructure its board of directors. Aviat, which holds over 5% of Ceragon shares, plans to remove three current directors and elect five independent candidates. This move follows Aviat's claim that Ceragon’s board has led to significant shareholder value destruction and ignored a premium acquisition offer of $2.80 per share. Aviat emphasizes the need for a board that prioritizes shareholder interests and creates value.

Aviat Networks has proposed to acquire Ceragon Networks for $2.80 per share in cash, representing a 51% premium to Ceragon's recent trading average. This nonbinding proposal aims to create a leading wireless transport solutions company, enhancing operational efficiencies and competitive positioning through significant synergies estimated at $35 million. Aviat, holding over 5% of Ceragon's shares, is calling for an extraordinary general meeting to elect new directors to evaluate this acquisition. The proposal reflects Aviat's belief in delivering immediate value to Ceragon shareholders.

Ceragon Networks Ltd. (CRNT) reported Q1 2022 revenues of $70.3 million, a 2.9% increase from Q1 2021 but down 9.6% from Q4 2021. A GAAP operating loss stood at $(1.3) million, with net loss at $(2.3) million or $(0.03) per diluted share. Despite strong bookings across North America, India, Europe, and LATAM, supply chain issues hindered product delivery. The company expects annual revenue between $300-$315 million pending improvements in supply chains and gross margins. Cash reserves improved to $25.0 million.

Ceragon Networks Ltd. announced an agreement with DISH Wireless to supply 5G transport solutions, including IP-50C microwave and IP-50E millimeter wave technologies. This partnership aims to support DISH's rollout of its cloud-native 5G Smart Network™. Ceragon's advanced solutions promise enhanced reliability, reduced total cost of ownership, and rapid deployment capabilities. With over 400 service providers as customers, Ceragon emphasizes its leadership in 5G wireless transport.

Ceragon Networks Ltd. (NASDAQ: CRNT) will announce its Q1 2022 earnings on May 2, 2022, before market opening. The company will host a web conference at 9:00 a.m. ET on the same day to discuss results, followed by a Q&A session. Registration for this conference is available through the provided link. Ceragon is a leader in 5G wireless transport solutions, assisting various service providers globally. Its technology facilitates reliable connectivity and quick network modernization, supporting over 400 service operators across more than 150 countries.

Ceragon Networks Ltd. (NASDAQ: CRNT) announced the departure of its Chief Financial Officer, Ran Vered, effective May 2022, as he seeks opportunities outside the telecom sector. Vered is credited with enhancing Ceragon's financial foundation during challenging times. The company is actively searching for his successor, with Doron Arazi, the CEO, stepping in as interim CFO if needed. Ceragon continues to focus on expanding its 5G technology portfolio while maintaining operational efficiency in delivering wireless transport solutions.