Logitech International agreed to acquire privately held LifeSize Communications of Austin, Texas for $405 million in cash.
LifeSize specializes in HD video communication solutions and has more than 9,000 video conferencing customers across 80 countries in large enterprises, small-to-medium businesses (SMBs) and public healthcare, education and government organizations. The company expects approximately $90 million in revenue in CY 2009, with CY 2010 revenue expected to grow between 40 percent and 60 percent. Logitech expects the acquisition to be neutral to slightly positive to its operating income (excluding acquisition-related charges) in FY 2011, ending March 31, 2011, and positive thereafter.
“We expect this acquisition to enable Logitech to extend our leadership in video communication beyond the desktop,” said Gerald P. Quindlen, Logitech president and chief executive officer. “Together we can make life-like, HD-quality video communication as mainstream and seamless as a telephone, for meeting participants in the boardroom, at their office desk, in a remote-location meeting room, telecommuting from home or on the go with a laptop.”
The companies said they plan to pursue existing and new relationships with unified communications, collaboration and VoIP industry partners and competitors to drive the development of an open eco-system for interoperable video communication.
http://www.logitech.com
http://www.lifesize.com
