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Tundra Semiconductor To Acquire Systems Solutions Business from Alliance Semiconductor
Tundra Semiconductor To Acquire Systems Solutions Business from Alliance Semiconductor.
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[{"type":"text","content":"\n\n\n\n\nLeader in System Interconnect Broadens Portfolio To Include New PCI \nExpress(R) Products\n\nOTTAWA, ON, April 19 /CNW Telbec/ - Tundra Semiconductor Corporation\n(TSX:TUN), the leader in System Interconnect, today announced that it has\nentered into a definitive agreement to acquire the assets of the Systems\nSolutions Business Unit of Alliance Semiconductor Corporation (\"Alliance\nSSBU\"). The acquisition includes intellectual property and several products\nboth in production and under development. Tundra also expects to hire over\nfifty employees from Alliance SSBU as a result of the acquisition.\n\"Tundra is the leading provider of System Interconnect products\nsupporting standards like PCI-X and RapidIO. This acquisition broadens our\nproduct offering by adding PCI Express, HyperTransport and PCI bridges. These\nbridges are designed into systems currently in production at some of the\nworld's leading communications companies,\" said Jim Roche, President and CEO\nof Tundra. \"Moving forward, we will work with our customers to leverage the\ndesign expertise and capacity of the acquired business along with our existing\ntechnology base to develop a market-leading PCI Express product portfolio.\"\n\"The Alliance SSBU has world-class intellectual property, a history of\nsuccessful execution and excellent people,\" said Mel Keating, President and\nCEO of Alliance Semiconductor. \"Combining this with Tundra's strong business\nwill benefit both our customers and our employees.\"\nUnder the terms of the agreement, Tundra will pay $5.8 million USD in\ncash upon closing. The acquisition is targeted to close on May 2, 2006\nfollowing the satisfaction of customary closing conditions. On closing, Tundra\nwill assume responsibility for the acquired products and support, which will\nbe available through Tundra's worldwide sales network.\n\"This acquisition is positive in many ways,\" said Norm Paquette, CFO of\nTundra. \"It gives us the PCI Express roadmap that our customers have been\nrequesting, which strengthens our position with strategic customers. It also\nexpands and globalizes our R&D team as well as offers attractive financial\nreturns.\"\nTundra expects the acquired products to generate revenues of between\n$1.7 and $2.0 million in the first quarter of fiscal 2007, which starts on\nMay 1, 2006. Thereafter, it is ex...