ARRIS Announces Com 21 Purchase Agreement
Press Release Source: ARRIS
Tuesday July 22, 4:05 pm ET
DULUTH, Ga., July 22 /PRNewswire-FirstCall/ -- ARRIS (Nasdaq: ARRS - News), a global telecommunications technology leader, today announced that it had entered into a definitive agreement for the acquisition of certain cable modem termination systems (CMTS) related assets of COM 21, including the stock of its Irish subsidiary, for a purchase price of approximately $2,800,000, subject to the approval of the US Bankruptcy courts and certain other closing conditions. The transaction will transfer ownership of a DOCSIS 2.0 based Layer 3 capable CMTS specifically suited for smaller markets to the ARRIS portfolio of next generation high speed data products. The new C3 product along with ARRIS's market leading Cadant C4 CMTS provides ARRIS customers with complete market coverage from very large concentrated urban markets to small and mediums size markets.
"This is the culmination of our previously announced OEM agreement with COM 21," said Bob Stanzione, ARRIS Chairman, President & CEO. "The transaction enables us to own and integrate the intellectual property and talent behind our new C3 CMTS. The C3 is a feature rich rack mounted CMTS which will allow us to reach smaller scale systems domestically and internationally. We expect the transaction to be slightly dilutive to earnings per share in the second half of this year and accretive in 2004. The transaction is an exciting one for us and we are pleased to welcome approximately 45 new employees to the ARRIS family. I am confident they will help keep us on the leading edge of internet protocol technology," concluded Stanzione.
ARRIS provides broadband local access networks with innovative next generation high-speed data and telephony systems for the delivery of voice, video and data to the home and business. ARRIS complete solutions enhance the reliability and value of converged services from the network to the subscriber. Headquartered in Duluth, Georgia, USA, ARRIS has design, engineering, distribution, service and sales office locations throughout the world. Information about ARRIS' products and services is found at www.arrisi.com . |
