Arris to buy British set-top box maker Pace in $2.1 billion deal (Deal will lower corp taxes)

Reuters ^ | 04/22/2015 | AMRUTHA GAYATHRI

[Kid Shelleen]

Network gear maker Arris Group Inc said it would buy British set-top box maker Pace Plc in a $2.1 billion cash-and-stock deal to expand its operations outside North America.

The deal, which involves the creation of a new company that will be incorporated in the UK, will help Arris reduce corporate taxes.

Arris said the deal will reduce its non-GAAP tax rate to about 26-28 percent. The company's tax rate was 36.8 percent in 2014.

The deal comes at a time when the traditional video service industry is being shaken up by "over-the-top" services, which allow consumers to stream videos through a high-speed broadband connection.

[Kid Shelleen]

Interesting because it looks like they are going to incorporate in the UK to lower corporate taxes.

[norwaypinesavage]

"Interesting because it looks like they are going to incorporate in the UK to lower corporate taxes."

Interesting?? No, smart. Which would you rather pay, Obama's 38 percent (plus state and local), or UK's 28%?