Applied Micro Circuits Corp. (AMCC) is targeting the storage area networking market, announcing Thursday (Aug. 28) that it has acquired storage component and software developer JNI Corp. for approximately $190 million.
Founded in 1993, JNI has been developing host bus adapter and software products for the fibre channel market. The company has also developed host channel adapter modules for the emerging InfiniBand market.
Under terms of the acquisition agreement, AMCC will pay $7 per chare in cash for each outstanding share of JNI common stock, equating to nearly $190 million. AMCC will also assume all outstanding JNI employee stock options. As of June 30, JNI's assets included approximately $90 million in cash and investments.
Both boards have approved the transaction. The acquisition is expected to close in the fourth quarter of 2003.