Buy Cisco Systems: Things Will Only Get Better For This Cash Rich Technology Giant

Cisco has announced that it has finalized its acquisition of Meraki Inc. The company has paid $1.2 billion in cash and retention based incentives for the acquisition and expects the deal to be closed in 2Q2013. Meraki is a US based company that is the first cloud based network infrastructure company in the world. It provides cloud-managed access solutions including access switches, WiFi, security appliances and mobile device management. The company has more than 18,000 customers, spread over 145 countries, with clients across a diverse range of sectors such as healthcare, industry, government and so on.

Smartphones and handheld devices are increasing data demand and CSCO is one of the primary beneficiaries of this revolution. Going forward, we believe that growth will remain stable for CSCO due to increased penetration by smartphones/tablets in China and India. Read More