Cisco Systems, Inc. reported it acquired
NetSpeed Inc., a provider of Digital
Subscriber Line (DSL) technology.
Under the terms of the agreement, between 3.7 and 4.0 million shares of
Cisco common stock (subject to certain adjustments) will be exchanged for
all outstanding shares and options of Austin, TX-based NetSpeed, a deal
worth close to $236 million.
Cisco states that the acquisition will enable it to offer telcos and
Internet Service Providers an end-to-end DSL solution, as well as offer
consumers affordable DSL-enabled modems for home use.
The acquisition, approved by both companies’ board of directors, is
expected to be completed by April, pending regulatory approval.