Silver Lake sees buyout firms targeting phone equipment after stock prices swoon

Silver Lake, the largest private-equity company focused on the technology industry, expects buyout firms to zero in on makers of telecommunications and mobile-phone gear this year, spurring a new round of dealmaking.

Private-equity firms will ramp up investments in suppliers of phone equipment and wireless handsets, said Charles Giancarlo, a managing director at Menlo Park, Calif.-based Silver Lake. While he declined to say which companies might be targeted, analysts have named Research In Motion Ltd. (RIMM), Alcatel-Lucent (ALU) and Nokia Siemens Networks Oy as potential takeovers or investment opportunities.

“It’s definitely an area that’s in great transition right now,” Giancarlo, a formerCisco Systems Inc. (CSCO) executive, said in an interview. “There’ll be more private-equity activity.” [ Full article ]