Keysight Technologies announced it will acquire Anite, a U.K.-based supplier of test and measurement solutions to the international wireless market. At 126 pence per share, the acquisition values Anite (on a fully diluted basis) at approximately £388 million ($606 million).

Anite, based in Fleet, U.K., is a global supplier of software-centric solutions that enable the efficient design and validation of chipsets, mobile devices and network equipment. Its customers include major manufacturers of mobile devices, chipsets and network equipment, mobile network operators, regulatory authorities and independent test houses. With offices in 14 countries, Anite has more than 500 employees throughout the world.

Ron Nersesian, Keysight president and CEO, said “As a leading supplier of software solutions for wireless research and development, Anite is aligned with Keysight’s strategy to grow in wireless and increase our software offerings. The combination of Keysight and Anite — two global leaders with complementary strengths — enables us to offer a broad portfolio of leading-edge solutions throughout the wireless research and development cycle. This will help us to expand our portfolio into the software layer for design and validation, and expand Keysight's position as a supplier for wireless design and validation tools."

Keysight expects the acquisition to be accretive to adjusted earnings in the first year and generate 15 percent ROIC within five years.

The transaction, unanimously recommended by Anite's board of directors, is subject to a number of conditions in accordance with Rule 2.7 of the U.K. Takeover Code, including regulatory approvals and the approval of Anite’s shareholders. Subject to satisfying all conditions, Keysight expects the transaction to close by the end of October 2015.

Keysight Netherlands B.V., a wholly owned indirect subsidiary of Keysight Technologies, will acquire the entire issued and to be issued ordinary share capital of Anite. This structure efficiently deploys Keysight's overseas cash.