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Technology Stocks : Newbridge Networks -- Ignore unavailable to you. Want to Upgrade?

To: Bob Martin who wrote (2507)	12/1/1997 1:55:00 PM
From: Jeffrey L. Henken	Respond to of 18016

Siemens and Newbridge Acquire ATM Access Company RADNet of Israel Acquisition expands industry-leading Siemens / Newbridge MainStreetXpress ATM product portfolio MUNICH, Germany, KANATA, Canada, Dec. 1 /CNW/ - The Public Communication Networks Group of Siemens AG [OTC BB:SMAWY - news] and Newbridge Networks today announced that they have jointly acquired RADNet Ltd., an Israeli developer and manufacturer of access switches for asynchronous transfer mode (ATM) networks, for US$75 million. Under the terms of the agreement, Siemens will control 50.1% of the company, while Newbridge Networks will own 49.9%. The acquisition represents a significant step in the advancement of the industry-leading Siemens / Newbridge MainStreetXpress product line by adding important ATM access switches and provides the Siemens and Newbridge alliance with access to the R&D capability, entrepreneurial energy and innovation found in Israel, recognized as one of the fastest growing technology centers in the world. ''We are very pleased to formalize our relationship with two worldwide leaders in the communications industry,'' said Avi Domoshevizki, President of RADNet. ''The entire RADNet team looks forward to working closely with Siemens and Newbridge in the further development of robust, cost-effective access products to add to the industry's foremost broadband product line, MainStreetXpress.'' ''Siemens and Newbridge have been working closely together to make our joint MainStreetXpress product line the most comprehensive and advanced in the market,'' said Thomas Rambold, President of the Broadband Networks unit of Siemens AG's Public Communication Networks Group. ''The addition of RADNet's technology and products extends the Siemens / Newbridge MainStreetXpress ATM product portfolio to provide a complete end-to-end solution for global customers.'' ''This joint acquisition by Siemens and Newbridge Networks further strengthens the long-term ATM networking alliance between our companies,'' stated Terence Matthews, Chairman of Newbridge Networks. ''The alliance's family of ATM products is without a doubt the most complete in the industry and RADNet's access products greatly enhance our position as the core supplier to the largest network operators in the world.'' The acquisition of RADNET provides even greater strength to the Siemens and Newbridge broadband research and development team, which is now in excess of 2,000 and the largest in the industry. RADNet will continue its operation in Israel, focusing on research, development and manufacturing of ATM access products, with Siemens and Newbridge serving as distribution channels. Avi Domoshevizki will continue as President and CEO of the company. The company will have its own board of directors, which will include representatives of the two parent companies. RADNet currently has approximately 65 employees. Established in 1994 as a division of the Tel Aviv based RAD Group, RADNet focuses on ATM access products for carriers and service providers worldwide. RADNet switches are currently being evaluated in carrier and corporate networks worldwide. Siemens Public Communication Networks Group (Munich, Germany) and Newbridge Networks (Kanata, Canada), two of the world leaders in ATM, formed a strategic networking alliance in 1996 to provide carriers worldwide with the most comprehensive and advanced ATM solution set. With this agreement, the two companies have unified their ATM product lines under the MainStreetXpress brand and assembled the industry's most extensive ATM research and development operation -- more than 2,000 engineers in five countries. SOURCE: Newbridge Networks Corporation