TechnoConcepts Inc. on Friday announced that it has completed its acquisition of network hardware maker
Asante Technologies Inc. The deal is valued at about US$3 million. Asante will now operate as a new wholly-owned subsidiary of TechnoConcepts based out of San Jose, Calif.
Asante is a long-time supplier of networking hardware to the Macintosh market. The company has long provided Ethernet cards for Mac models, and makes it AeroLAN wireless networking PC cards work with Apple’s AirPort software as well. What’s more, the company recently announced that its Gigabit Ethernet switches are supported under Mac OS X v10.4 “Tiger.”
TechnoConcepts is best know for its “True Software Radio,” which enables device-to-device communication using Radio Frequency (RF) to digital conversion technology.
TechnoConcepts chairman Antonio Turgeon said in a statement that his company hopes to increase sales of Asante quickly, reduce overhead and make it a cash-flow positive business in the short term. He also hopes Asante can help TechnoConcepts push forward the True Software Radio technology. “Our acquisition of Asante’s business and operations will enable us to expand its product offerings, improve their current relationships with their suppliers, as well as increase the number of suppliers and manufacturing partners,” said Turgeon.
Under the terms of the deal, TechnoConcepts issues 1.16 million restricted shares of its common stock (valued at about $3 million) for all of Asante’s intellectual property, trademarks and current assets; the company also assumes about $3 million in liabilities. Asante may receive additional shares of TechnoConcepts if it meets 12- and 24-month revenue goals.