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A tender offer is expected to begin by Nov. 1. Simon Leopold of Raymond James said in a client note that he wasn't surprised by the announcement of the sale and doesn't expect counterbids for the company. "We have struggled to identify a suitable strategy for a Tellabs turnaround following a series of missteps and unfortunate events," Leopold wrote. The analyst said that by selling itself to a private equity firm, Tellabs can concentrate on reinventing itself. Leopold reaffirmed a "Market Perform" rating. The deal, which was unanimously approved by Tellabs' board, is expected to close during the fourth quarter. It requires at least half of Tellabs' outstanding shares to be tendered.
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