Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Advanced Fibre (AFCI) ** IPO -- Ignore unavailable to you. Want to Upgrade?

To: Dave Kahn who wrote (3154)	2/22/2001 5:51:51 AM
From: Thai Chung	Read Replies (1) \| Respond to of 3299

Technology News 02/22 03:50 Siemens to Buy Efficient Networks for $1.5 Billion (Update1) Munich, Feb. 22 (Bloomberg) -- Siemens AG agreed to buy Efficient Networks Inc., the largest maker of modems for high- speed Internet connections on telephone lines, for $1.5 billion in cash to expand its phone equipment business in the U.S. Germany's biggest electronics company offered $23.5 for each Efficient Networks share, about 90 percent more than yesterday's closing price. The board of Dallas-based Efficient Networks backs the transaction, Siemens said. This is the ``right step at the right time, especially now that technology prices have become more sensible,'' Siemens Chief Executive Heinrich von Pierer said in an interview on Bloomberg Television. Siemens has sold divisions accounting for 15 percent of sales in the past two years to focus more on faster-growing industries such as mobile phones. Von Pierer has also pressed to expand the company's U.S. business, and has said Siemens will use a March 12 U.S. listing to finance further acquisitions. ``Siemens is delivering on its promises,'' said Michael Bahlmann, an analyst at M.M. Warburg Research in Hamburg. ``Von Pierer is guiding the company with a steady hand.'' Siemens shares fell 0.61 euros to 132.89 today. Siemens sells digital subscriber line equipment, which moves data on copper phone lines at speeds more than 100 times faster than dial-up modems, to end customers and phone companies such as Deutsche Telekom AG, Europe's largest phone company by sales. It's had difficulties in recent months satisfying demand for high-speed Internet connections. Efficient Networks had sales of $394 million in 2000, Siemens said. The company's shares have slumped 70 percent in the past six months as telecommunications stocks fell. Siemens's U.S. sales rose 35 percent to 4.4 billion euros in its fiscal first quarter ended Dec. 31, boosted by acquisitions and the euro's slide against the dollar, the company said last month. International business accounts for 77 percent of sales.