Paris-based Sagem Communications
, a company involved in communication systems and consumer electronics, today announced it has signed a new deal with Gigaset Communications GmbH, a multinational corporation based in Munich, Germany formerly known as Siemens (News
) Home and Office Communication Devices.
Under the terms of the agreement, Sagem Communications will acquire the Broadband and WiMAX business of Gigaset Communications. This marks the first acquisition for Sagem Communications since being obtained in January 2008 by U.S.-based private equity firm The Gores Group
By gaining the Broadband and WiMAX assets of Gigaset, Sagem Communications will be able to further enhance its position as an innovative global provider of broadband products and to gain access to new technologies and customers.
Sagem Communications currently has 6,570 employees located all across the globe, and posted sales of 1.3 billion euros (approximately $1.64 billion) in 2008.
Gigaset Communications will benefit from this business transaction by strengthening its core business as the European market leader for cordless DECT (News
According to Patrick Sevian, president of Sagem Communications, this acquisition is supports Sagem Communications’ main goal to be recognized as a global leader in broadband terminals, convergence and digital home solutions.
“We firmly believe that the global customer footprint and the excellent R&D capabilities of Gigaset will significantly enhance our positioning and the value we provide to our customers,” added Sevian.
”The voice business is our core competence and the foundation of our market leadership. That is why we focus on our strengths as a well established, modern and innovative manufacturer of telephones,” said José Costa e Silva, CEO of Gigaset Communications. “We are delighted that with Sagem Communications we have found a proficient and well positioned partner in the broadband business.”
The deal is subject to the prior consultation of Sagem Communications’ Workers Council and to the approval of the relevant competition authorities.
Gigaset, a subsidiary of Arques Industries AG and Siemens AG (News
), focuses on providing home electronics, including corded and cordless phones, Voice over IP (VoIP) phones and broadband products such as DSL modems, wireless routers and gateways and home media set top boxes.
A French high technology company, Sagem Communications specializes in broadband communications and convergence (printing terminals, digital TV set-top boxes, broadband and residential terminals, communicating energy management solutions and telecom systems and partnerships.) The company strives to become a world leader in convergence and broadband terminals.
The company acquired Sagem-Interstar
, the pioneer and global leader in boardless SIP/IP fax solutions, in May 2006. Sagem-Interstar (News
) continues to lead the fax server market through its award-winning XMediusFAX solution, a fast, highly cost effective, secure, and reliable IP fax server solution that has dominated the global Fax over IP (FoIP) market since 2002.
Michelle Robart is a contributing editor for TMCnet. To read more of Michelle's articles, please visit her columnist page.
Edited by Michelle Robart