SHELTON, Conn. -- TranSwitch Corp. today announced the acquisition of privately-held French semiconductor design house ADV Engineering S.A.
In connection with the acquisition, TranSwitch issued 129,971 shares of its common stock, and, subject to accomplishment of certain goals over the next twelve months, the transaction will involve the issuance of up to an additional $5 million in cash or TranSwitch common stock. TranSwitch stock closed at $45.88 on Thursday.
ADV will operate as a wholly owned subsidiary of TranSwitch. ADV's team of sixteen employees is based in Toulouse, France.
ADV Engineering specializes in communications protocols, including T1/E1, and related software and hardware solutions. ADV's expertise will be used in TranSwitch's design and development of products serving the multi-service access platform.
"Prior to this acquisition, TranSwitch benefited from ADV's knowledge and expertise by engaging them on a contract basis in the development of several VLSI devices. ADV has been workingclosely with our design engineers in Shelton, CT, and our European Design Center in Lausanne, Switzerland for quite some time," stated Dr. Santanu Das, president and CEO of TranSwitch, in released statement.