Enablence enhances tier 1 presence with Teledata acquisition

Enablence Technologies continues to build up its last mile network equipment arsenal through acquisitions. This time, the vendor has reached a merger agreement to acquire Israel-based multiservice access systems provider Teledata Networks for $50 million.

To purchase Teledata, Enablence will put up $10 million in cash and about $30 million in stock. In addition, Enablence is issuing a $10 million promissory note that's payable two years after the deal is completed.

During a conference call with analysts announcing the deal yesterday, Enablence said that purchasing Teledata would increase its yearly revenues from $135 million to $145 million. Besides being able to expand its product portfolio, what's even more significant about the deal for Enablence is a far-reaching tier 1 service customer base that spans over 55 countries, including Brazil, Chile, Costa Rica, Kazakhstan and South Africa.

"With this merger, Enablence will become a strategic player in the global broadband market, with the critical mass to meet the needs of service providers in established and emerging markets and the ability to service Tier 1 operators internationally," said Arvind Chhatbar, Chairman of Enablence in a release.

Initially a provider of planar lightwave circuit (PLC)-based FTTX modules, Enablence has been establishing itself as an integrated systems vendor through its purchases of both the former Wave 7 Optics and Pannaway Technologies.

For more:
- see the release here
-Telecompaper also has this article

Related articles:
Enablence buys Wave7 in vertical cost move
Enablence acquires Pannaway Networks
Pannaway last year acquired TelStrat's access division

Suggested Articles

Like most telcos, there are challenges ahead for CenturyLink, but one area it can bank on is its fiber network both here and abroad.

With the surge of data-hungry gamers battling for the best experience, how will your network rise to the challenge?

Listen now.

It's going to be fun watching the epic battle unfolding between hedge fund giant Elliott Management and massive conglomerate AT&T.