Broadband service provider Flashcom Inc. Monday acquired network management firm Worldwide Axcelerant Group Inc. in a deal that will allow the high-speed ISP to deliver enhanced, secure business-to-business broadband services over the Web.
Axcelerant will operate as a wholly owned subsidiary of Flashcom. The
purchase is an all-stock transaction, which Flashcom could not detail due
to its “quiet period” from its May 10, S1 filing with the Securities and
Exchange Commission.
Richard Rasmus, Flashcom president and chief executive officer, said the
acquisition would open-up new markets to the broadband service provider.
“Flashcom’s strength is mass marketing high-speed Internet access and
digital broadband applications over copper telephone wires to residential
and small-to-medium-sized business customers,” Rasmus said. “Axcelerant
brings to Flashcom the managed, scalable services and unparalleled command
of security and applications software that companies demand when deploying
broadband connectivity.”
Robert Heintz, president of Axcelerant, will continue to head the business
unit, reporting to Flashcom’s Rasmus. Heintz said the two companies would
fit well together.
“We look forward to combining the expertise and experience of Flashcom and
Axcelerant,” Heintz said. “The combined company gains the ability to easily
deliver broadband services – and e-commerce and teleworking solutions to
enterprise customers of all sizes worldwide.”
Axcelerant technology analyzes secure networks that companies use to share
private Web-based communications. Headquartered in Irvine, Calif., Axcelerant
boasts a list of top-notch partners including Cisco Systems, Inc. ,
Lucent Technologies, Inc. , RSA Security Inc.
and others.
Flashcom currently provides digital subscriber line services to businesses
in more than 80 U.S. metropolitan markets. The acquisition will allow the
firm to deploy refined technologies for both DSL and cable modem broadband
access.
