3Com in talks to acquire EuPhonics, sources say
LOS ANGELES, Dec 2 (Reuters) - Computer equipment maker 3Com Corp.
(Nasdaq:COMS - news) is in talks to acquire audio software maker EuPhonics Inc. in a move to expand 3Com's operations into sound technology, sources close to 3Com said on Wednesday.
The deal, which could be finalized as early as Friday, calls for 3Com to pay about $8.3 million in cash for all of the Boulder, Colo.-based company's stock plus assumption of stock options and other costs.
EuPhonics is considered a leading company in the United States providing audio software that is used in high-tech microchips, computer soundcards and consumer electronics.
By acquiring the company, Santa Clara, Calif.-based 3Com hopes to merge EuPhonics' technology with its own expertise in computer modems and network equipment to create a new line of sound products for communications and audio-streaming products, sources said.
EuPhonics employs about 14 people and has been operating since 1987. 3Com, by contrast, is one of the computer modem and networking arena's largest players with more than 200 million customers worldwide and
quarterly sales of about $1.4 billion.
Officials at 3Com declined to comment for this story.
3Com stock ended trading on Wednesday unchanged at $42.88 on the Nasdaq stock market. |
