Ceva Inc. (Nasdaq:CEVA); LSE:CVA) has licensed its TeakLite-III DSP cores for femtocell baseband chipsets to Israeli fabless semiconductor Percello Ltd.. The company did not disclose the size of the deal.
Femtocells are wireless access points that are used to improve cellular reception inside homes and offices.
Percello CEO Shlomo Gadot said, "When selecting a DSP for our next-generation of cost-effective Femtocell processors, the TeakLite-III DSP emerged as the optimal solution, providing the ideal feature set and power/performance balance for our requirements. Ceva is widely regarded as the leader in licensable DSP technology and working with a company of their experience provides a tremendous advantage for our Femtocell processor design process."
Ceva CEO Gideon Wertheizer added, "Femtocells are poised to have a tremendous impact for the provision of wireless voice and data services in the next few years and Percello is ideally positioned to address this demand with their advanced wireless infrastructure processors. This latest selection of our DSP cores for Femtocell applications is indicative of our continued expansion into new addressable markets beyond mobile handsets."
In a separate development, Ceva announced that it will buy back up to 500,000 shares, part of a one million share buyback program announced by the board in August, amounting to 5% of the company's shares. Ceva had $86.5 million in cash at the end of June.
Ceva closed yesterday at $9.17 on Nasdaq, giving a market cap of $185 million. The share was unchanged at ₤3.55 on the LSE today.
Percello was founded in 2007 to develop solutions for the femtocell market. Its main investor is 7 Main Ltd., the investment arm of Ruth Wertheimer.
Published by Globes [online], Israel business news - www.globes-online.com - on September 3, 2008
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