(Reuters) – Cloud communications company Twilio Inc is in talks to invest up to $ 750 million in Syniverse Technologies LLC, the Wall Street Journal reported on Sunday.
The investment will be announced on Monday, which could be followed by a merger between telecom services company Syniverse and a special-purpose acquisition company to go public, according to the report, citing people familiar with the matter.
The deal values Syniverse at around $ 2 billion to $ 3 billion, including debt.
There is no guarantee that Syniverse, backed by private equity firm Carlyle Group Inc, will go public, either through a deal with SPAC or an IPO, the Journal added.
For Syniverse, the Twilio deal involves a business deal that would send a significant amount of business its way, the newspaper said. Syniverse may also use proceeds from a deal with SPAC to make acquisitions, it said.
Both Twilio and Syniverse did not immediately respond to a request for comment from Reuters.
Report from Maria Ponnezhath and Juby Babu in Bengaluru; Editing by Daniel Wallis and Shri Navaratnam