Silicom buys Danish network appliances co Fiberblaze

deal  merger  picture: photo to go

The Israeli networking company will pay $10 million subject to performance milestones.

Israeli networking company Silicom Ltd. (Nasdaq:SILC; TASE:SILC) has acquired Danish network appliances company Fiberblaze. The Danish company provides high performance application acceleration solutions for the mobile, telecommunication, network monitoring, cyber security, financial and related industries.

Silicom has agreed to pay Fiberblazes stockholders about $10 million in cash, subject to certain adjustments, and additional consideration subject to the attainment of certain future performance milestones. Silicom expects the acquisition to be accretive to earnings per share on a non-GAAP basis.

Silicom president and CEO Shaike Orbach said, We are excited to bring the superb Fiberblaze team into the Silicom family, a synergistic move that will enhance our technology, extend our product lines, expand our Total Addressable Market (TAM) and diversify our customer base."

He added, We intend to continue building out Fiberblazes existing profitable business, to implement its groundbreaking technologies in our existing product lines, and to begin working on additional new products needed by industries challenged to keep up with the tsunami of data traffic. We are confident that this will enable us to continue deepening our relationships with our current top-tier customers while also opening the door to new relationships, thereby growing our sales and profits to the next level."

Orbach continued, "We believe this acquisition will strengthen our leadership position in the network appliances industry while expanding our technology and product offerings in the fast-growing data center, network monitoring, telecommunications, cyber security and ultra-low latency HFT markets.

Published by Globes [online], Israel business news - www.globes-online.com - on December 11, 2014

Copyright of Globes Publisher Itonut (1983) Ltd. 2014

 
deal  merger  picture: photo to go
deal merger picture: photo to go
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