Casa Systems Initiates Court-Supervised Chapter 11 Sale Process for Businesses

Reaches Agreements to Sell 5G Mobile Core and RAN Assets to Lumine Group and Cable Business to Vecima Networks

ANDOVER, Mass., April 03, 2024 (GLOBE NEWSWIRE) -- Casa Systems, Inc. (Nasdaq: CASA) ("Casa" or the “Company"), a leading provider of physical and cloud-native infrastructure technology solutions for wireless, cable and fixed broadband networks, today initiated a court-supervised process that is intended to achieve value-maximizing sales of its businesses. To facilitate these sales, the Company filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code in the U.S. Bankruptcy Court for the District of Delaware.

The Company has entered into an asset purchase agreement to sell its 5G Mobile Core and RAN businesses, which include its Axyom Cloud Native 5G Core Software & RAN Assets, to Lumine Group, a global acquirer of communications and media software businesses (the “Cloud/RAN Sale”). The Company has asked the Bankruptcy Court for approval to complete the transaction by the end of April.

The Company also entered into a stalking-horse asset purchase agreement to sell its Cable business to an affiliate of Vecima Networks, Inc., a global leader in delivering scalable software, services, and integrated technology platforms for broadband access, and content delivery (the “Cable Stalking Horse Sale”). The Company has asked the Bankruptcy Court to approve procedures for soliciting additional bids and to set an auction for mid-May.

The Company remains committed to the success of its customers and partners and intends to continue supporting them throughout this process.

Michael Glickman, Chief Executive Officer, said, “Like many in our sector, Casa has experienced a significant decline in revenue and profits due in large part to industry-wide downward capital investment and procurement trends in the cable and telco markets. We also have incurred significant investments to bring our 5G Mobile Core and RAN products to market. We believe the sales of our businesses through a Chapter 11 process will maximize value, preserve jobs and minimize disruption for our customers.”

Mr. Glickman continued, “We are incredibly grateful to our employees for their unrelenting hard work and commitment to serving our customers around the world. Their dedication has enabled us to continue to provide our leading portfolio of all-access broadband network solutions to our customers. Throughout this process, we will continue to support our loyal customers.”