Thursday, September 27, 2007

Emerson to Acquire Motorola's Embedded Communications Computing Business

Emerson agreed to acquire Motorola's Embedded Communications Computing (ECC) business for $350 million in cash.

Motorola's ECC business supplies embedded computing products and services to communication infrastructure and equipment manufacturers in telecommunications, medical imaging, defense and aerospace and industrial automation. Based in Tempe, Arizona, Motorola's ECC business has approximately 1,100 employees. The business has driven open standards and pioneered technologies based upon them since it was formed in 1980.

Motorola ECC embedded computing technologies specifically feature industry standards known as Advanced Telecommunications Computing Architecture (AdvancedTCA) and Micro Telecommunications Computing Architecture (MicroTCA).

Motorola's ECC business, which had 2006 revenue of approximately $520 million, will strengthen Emerson's position in the $6 billion-and-growing merchant embedded computing industry.

Emerson said the transaction enhances its ability to meet the embedded computing needs of customers in telecommunications and other industries. Motorola said the deal sharpens its focus on its core businesses and technologies.
  • Last month, Motorola introduced a compact, 2-slot version of its Centellis AdvancedTCA platform.
    With integrated power and shelf management, and capable of reusing any of the AdvancedTCA payload from its larger peers, the Centellis 2000 is positioned for smaller scale deployments, such as rural and low-density subscriber locations, as well as self-contained applications such as security, media processing and telecom servers.

ECI Telecom Completes Acquisition by Private Equity Group

ECI Telecom has been acquired by affiliates of the Swarth Group and certain funds that have appointed Ashmore Investment Management Limited as their investment manager, for a total value of approximately $1.24 billion.

Under the terms of the Merger Agreement, which was approved by a majority of over 99% of ECI shareholders voting at an extraordinary general meeting held on August 29, 2007, each ECI share outstanding as of today has been automatically converted into the right to receive US $10.00 per share in cash, without interest and less any applicable withholding tax.

ECI had been listed on NASDAQ for the past 25 years.

STMicroelectronics Launches PoE Controllers for Networked Devices

STMicroelectronics announced two new families of Power-over-Ethernet (PoE) interface controllers. All devices in the families are compliant with the IEEE 802.3af specification for powered devices (PD), which provide all the control functions needed to enable a PD to request and draw power from an Ethernet network via a power source.

STMicroelectronics designers could use these new controllers to eliminate the 110/220V AC power lines to many wired LAN devices such as VoIP phones and security cameras. Other applications benefiting from PoE include webcams, WLAN access points, point of sale (POS) terminals and RFID readers.

Each device consists of two main sections: the IEEE802.3af-compliant interface to the PoE-powered RJ-45 wall socket, which includes basic PD Detection and Classification functions; and the Hot Swap Controller (HSC), which protects the PD during insertion, operation and power withdrawal. The controllers integrate a high-voltage power MOSFET (low-side switch), with low RDS ON, and with the capability to accept transients as high as 100V. The 'hot swap' features include functions such as inrush current limiting, undervoltage lockout (UVLO), and thermal overload protection.

Qualcomm Hires General Council from Apple

Qualcomm named Donald J. Rosenberg as executive vice president, general counsel and corporate secretary. He will be responsible for all legal matters and the company's legal strategy worldwide.

Rosenberg joins Qualcomm from Apple, where he served as senior vice president, general counsel and corporate secretary. Prior to that, he spent more than 30 years at IBM, where he held numerous positions, including assistant general counsel for litigation, senior vice president and general counsel.

Avaya Stockholders Approve Acquisition by Silver Lake, TPG

Avaya stockholders voted to adopt the merger agreement providing for the acquisition of Avaya by affiliates of Silver Lake Partners and TPG, two private equity firms.

Avaya also announced that all regulatory approvals required to complete the transaction have been obtained, including the receipt of clearance from the European Commission.
  • In June 2007, Avaya accepted an $8.2 billion buyout offer, or $17.50 per common share, from Silver Lake and TPG Capital, both private equity firms. The price represented a premium of approximately 33 percent over Avaya's average closing share price of $13.17 during the 30 trading days ending May 25, 2007.

Deutsche Telekom to Acquire Orange Netherlands for EUR 1.33 Billion

Deutsche Telekom will acquire Orange Netherlands from France Telecom for EUR 1.33 billion. This transaction has been approved by the France Telecom Board of Directors after having obtained a positive advice from the Workers Council of Orange Nederland. The European Commission has already given its approval.

The acquisition strengthens Deutsche Telekom's position in the competitive Dutch market. T‑Mobile Netherlands is the third largest mobile communications provider in the Netherlands (12% market share), with revenues of EUR 1.1 billion in the 2006 financial year. With the acquisition the number of T-Mobile customers in the Netherlands rises by more than 2.1 million to around 4.8 million.

Orange Netherlands also serves a total of over 0.6 million broadband subscribers, ranking it as the number four broadband provider in the Netherlands and the number two ADSL provider in the Netherlands.

Russia's Golden Telecom Deploys Alcatel-Lucent

Russia's Golden Telecom has deployed a triple play capable network solution from Alcatel-Lucent. Under the terms of a series of contracts signed in the second quarter of 2007, Alcatel-Lucent has supplied the following equipment from its broadband access portfolio: the 7302 Intelligent Services Access Manager (ISAM), the 7330 ISAM Fiber-to-the-Node and the 7324 Remote Unit with a total capacity of up to 33,000 DSL lines, as well as an upgrade of the existing management system with the 5523 ADSL Work Station (AWS) to manage the DSL network elements. Financial terms were not disclosed.

3Com to Be Acquired by Bain Capital Partners for $2.2 Billion

Bain Capital Partners, a leading global private investment firm, agreed to acquire 3Com for approximately $2.2 billion in cash. shareholders will receive $5.30 in cash for each share of 3Com common stock, representing a premium of approximately 44% over 3Com's closing price of $3.68 on September 27, 2007

As part of the deal, affiliates of Huawei Technologies will acquire a minority interest in the company and become a commercial and strategic partner of 3Com.

3Com also includes H3C Technologies Co. (H3C), a China-based provider of network infrastructure products.
  • In June 2007, 3Com announced plans for an initial public offering (IPO) of common stock of its wholly owned subsidiary TippingPoint. 3Com expects to file a registration statement related to the IPO by the end of the calendar year.

    TippingPoint provides network-based intrusion prevention systems (IPS) and Digital Vaccine attack filter services for enterprises, government agencies, service providers and academic institutions.

  • In March 2007, 3Com Corporation closed its acquisition of Huawei Technologies' 49% stake in H3C for $882 million and 3Com now owns 100% of the China-based company. To fund the transaction and related fees and expenses, 3Com used approximately $470 million of cash from its balance sheet and approximately $430 million from a senior secured bank loan at its H3C segment.