Tuesday, August 2, 2005

Tekelec Acquires iptelorg GmbH for SIP Routing

Tekelec has acquired iptelorg GmbH, a developer of Session Initiation Protocol (SIP) routing software, for approximately $7 million in cash, plus $4 million of Tekelec shares, which are subject to repurchase for a nominal amount if certain of the former iptelorg shareholders terminate their employment with Tekelec within four years. Tekelec said the acquisition would extend its IP Multimedia Subsystem (IMS) capabilities.

iptelorg, which is based in based in Germany and the Czech Republic, offers a SIP Express Router is used in commercial deployments, anchoring offerings from T-Online International AG and EarthLink, among others. Tekelec said the technology is optimized for integrated communications solutions such as the Tekelec EAGLE 5 Signaling Applications System platform.

"The fact that IMS networks are very signaling intensive plays to our strength. Integrating SIP-signaling applications with our SS7 applications provides a perfect complement to our portfolio, supporting customers with legacy and next-gen environments alike. We help operators evolve their networks at the pace and scale that make sense for their businesses," said Fred Lax, Tekelec CEO.