Mellanox to acquire Voltaire
Mellanox Technologies, which supplies connectivity solutions for servers and storage systems, is to acquire Voltaire, a provider of scale-out data centre fabrics, for a price of $8.75 per share, equivalent to approximately $218 million.
The directors of both companies have unanimously approved the sale which will close in the first quarter of 2011, subject to closing conditions. Mellanox expects the deal to strengthen its position in the growing worldwide data centre server and storage markets.
Eyal Waldman, president, chairman and CEO of Mellanox Technologies, said: ‘Together, we believe the combined company will be a stronger business partner and system solutions provider, delivering customers a comprehensive range of end-to-end connectivity solutions. We welcome the great talent from Voltaire and look forward to completing the integration of our employees to create a superior combined company.’
Ronnie Kenneth, chairman and CEO of Voltaire, added: ‘We believe this is a great transaction for our customers, employees and shareholders. We expect the combined company to offer our customers the financial strength of Mellanox, industry-leading solutions and world-class development teams that drive innovation and enhance market opportunities.’
Mellanox expects to run the combined business from both companies’ current offices located in Israel, the United States and around the world. Existing product lines will be retained, while future version will converge to ensure continuity.