Anite acquires Invex

RNS Number : 1429Z

Anite PLC

10 January 2011

 



10 January 2011

ANITE PLC

Acquisition

Strategic acquisition for the Network Testing business

Anite plc ("Anite" or the "Company"), the leading provider of software solutions to the international wireless and leisure travel industries, announces the acquisition of the network test and measurement product line (Invex) from Andrew LLC ("Andrew"), a subsidiary of CommScope Inc. of North Carolina, a global leader in connectivity solutions for communications networks. 

The Invex product line, which includes benchmarking and scanner products, will significantly broaden Anite's existing network testing product range (Nemo) and advance the readiness of its product portfolio for the LTE networks' roll out over the next five years.  This acquisition will also broaden Anite's North American customer base and offer new products to Anite's existing global customers.

The R&D process for integrating the benchmarking and scanner products with existing Nemo products is expected to be completed by the beginning of Anite's next financial year.  The costs associated with this transition will result in a small loss for the Invex product line for the current year, however the Board's expectation for Anite's overall financial performance for the current year remains unchanged.  Once the integration is complete the product line is expected to make a small positive contribution to earnings in the first full year of ownership.

Sales of the Invex product lines in the calendar year to 31 December 2010 were approximately $5 million.  The transaction involves the transfer of 19 employees who are based in Virginia, USA and who are mainly involved in R&D, together with associated intellectual property and inventory.  The gross value of assets transferring is approximately $3 million.  Consideration for the transaction is not being disclosed but will be easily met from Anite's existing net cash resources.

Commenting on the transaction Christopher Humphrey, Anite Chief Executive said:

"I am delighted to announce this acquisition which, whilst small in size, is strategically significant.  It broadens our Network Testing product portfolio with benchmarking and scanner products which are highly complementary to our existing offering.  It will also save a considerable amount of R&D time and cost and should give us an additional advantage during the important build up to the global roll out of LTE over the next few years."

For further information, please contact:

Anite plc                                                                                         [phone]

Christopher Humphrey, Chief Executive

Richard Amos, Group Finance Director

MHP Communications                                                                   [phone]

Reg Hoare/Anthony Arthur                                                                                         

A conference call for analysts will be held today at 9.30am.  Please contact Anthony Arthur at MHP Communications for dial in details.

 

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