Thursday, February 22, 2007

Kentrox to Acquire Applied Innovation for $52 Million

KEG Holdings, Inc. (KEG), the parent company of Kentrox, agreed to acquire Applied Innovation, a provider of network management solutions for the communications industry, for approximately $52 million.

Applied Innovation, which is based in Ohio, provides services including sophisticated remote site management, 3G network data quality monitoring and logical security of critical networks.

Kentrox is a supplier of high-speed network access equipment.

Under the deal, KEG will acquire all of the outstanding shares of Applied Innovation for $3.45 per share in cash. Upon completion of this transaction, Investcorp Technology Partners, a current investor in KEG, will own a controlling interest in the combined company.