VoIP technologies and Voice Network products provider, AudioCodes, has announced an agreement to acquire all outstanding equity of N.S.C Natural Speech Communications Ltd. "NSC," that it does not already own.
AudioCodes has made a series of investments in NSC over the past several years, totaling roughly $8.6 million.
These investments raised AudioCodes' ownership interest before the execution of this latest agreement to 59.7 percent of the outstanding share capital of NSC -51.5 percent on a fully diluted basis. As of December 1, 2008, AudioCodes has been consolidating the financial results of NSC into the financial results of AudioCodes.
'The acquisition of NSC underscores AudioCodes' strategy of strengthening its technology base and offerings for the enterprise and residential telephony markets,' said Shabtai Adlersberg, chairman, president and CEO of AudioCodes.
Subject to regulatory approvals in Israel, this transaction is expected to close in May 2010. Under the terms of the agreement, AudioCodes will pay an aggregate of roughly $1.2 million for the remaining interest in NSC, payable in three annual installments set to start on the first anniversary of the closing.
AudioCodes will also be required to pay an additional purchase price of up to $500,000 in 2013 if certain aggregate revenue milestones are met for 2010, 2011 and 2012. If this occurs, the value of this purchase increases for AudioCodes substantially.
'Speech analytics and speech recognition increasingly become an integral part of emerging media applications and adding these capabilities will help us to increase our competitive edge in our markets,' added Adlersberg.
Focused on VoIP communications, applications and networking elements, AudioCodes designs, develops and sells advanced VoIP and converged VoIP and Data networking products and applications to Service Providers and Enterprises.
The company provides a full range of innovative, cost-effective products, including Media Gateways, Multi-Service Business Gateways, Residential Gateways, IP Phones, Media Servers and so much more.
In other AudioCodes news, the company announced last month financial results for the first quarter 2010, showing a slight increase in revenues over the fourth quarter of 2009.Revenues for the first quarter 2010 were $34.8 million compared to $34.2 million for the fourth quarter of 2009 and $29.3 million for the first quarter of 2009, according to company officials.
Check out this ContactCenterSolutions blog for some very interesting news from AudioCodes with the launch of AudioCodes' SIP Phone Support for Microsoft Office Communications Server.