C-COR to acquire Philips Broadband Networks

C-COR.net has announced that it is to acquire Philips Broadband Networks for a cash payment of approximately 80 million Euros.

C-COR.net, a global provider of broadband communications technology, systems, and services, and Royal Philips Electronics have announced that C-COR will acquire Philips Broadband Networks (PBN) for a cash payment of approximately EUR 80 million and the assumption of certain liabilities.

The transaction is due to be completed during the second half of 2002, subject to customary closing conditions, regulatory approvals, and applicable consultation procedures.

Philips Broadband Networks employs approximately 500 people and is said to be among the top providers of broadband products and services worldwide, with a strong customer base in Europe and in the Asia Pacific region. PBN is supported by sales and service organisations in twelve countries, and includes a design and production facility in Manlius, New York.

Philips Broadband Networks designs, manufactures, and distributes a wide range of underlying technologies for the burgeoning broadband sector, including transmission products (transmitters and receivers, optical nodes, network amplifiers, line extenders, and taps/passive devices), network optimising technologies (DWDM, WDM, and bandstacking devices), and element management systems.

Upon completion of the transaction, Philips Broadband Networks will become part of C-COR’s Broadband Communications Products (BCP) division.

C-COR expects that PBN will be substantially integrated by the end of 2002. Starting in 2003, the acquisition will add more than $100 million in annual revenue and be accretive to earnings.