Motorola agreed to acquire all of the outstanding shares of Netopia, a supplier of broadband customer premise equipment (CPE), for approximately $208 million in cash, or about $7.00 per share. The acquisition enables Motorola to further address the global broadband DSL opportunity.
Netopia will become a wholly-owned subsidiary of Motorola and will be integrated into Motorola's Connected Home Solutions business. Motorola said it intends to maintain Netopia's Emeryville, CA, headquarters, which will serve as the new headquarters of Motorola's global voice and data CPE business.
Netopia has supply arrangements with AT&T, BellSouth, Covad Communications, eircom, Swisscom, and Verizon.
"Motorola and Netopia share a common vision of the connected home as the hub for seamless mobility. This acquisition advances our vision by strengthening the Connected Home Solutions business position as a leading supplier of technology and services to telecom providers worldwide," said Dan Moloney, President, Motorola Connected Home Solutions.
For its most recent quarter ending 30-Sept-2006, Netopia posted revenues of $31.0 million, compared to $23.4 million for the same period in the prior fiscal year. Net loss on a GAAP basis for the quarter was ($1.5) million or ($0.06) per share, compared to a net loss of ($1.3) million or ($0.05) per share for the same period in the prior fiscal year.
http://www.motorola.comhttp://www.netopia.com
- In October 2006, Netopia unveiled its latest MiAVo platform optimized for triple-play services like IPTV, and a new 3-D Reach Extreme high-powered wireless gateway. Netopia's MiAVo Gateways support both VDSL2 and Bonded ADSL2+
