TA Associates completes secondary investment in Aurora Networks

APRIL 14, 2010 -- TA Associates, a private equity firm, has acquired, through a secondary purchase from existing shareholders, a minority stake in Aurora Networks Inc., an optical transport solution provider delivering a platform for next-generation cable services. Terms of the investment were not disclosed.

Founded in 1999, Aurora Networks’ optical network products and technology include optical transmitters, node platforms and Ethernet equipment. The company is based in Santa Clara, California.

Analysts project 24 percent compounded annual growth in worldwide HDTV subscribers and 9 percent compounded annual growth in U.S. VOD-enabled digital subscribers, between 2008 and 2013.

“Cable operators continue to build and upgrade network infrastructure to counter increasingly competitive threats from telephone companies, satellite operators, and Internet content providers,” says Kurt R. Jaggers, a managing director at TA Associates. “As a result, the addressable market for Aurora Networks’ products is large and growing. Given the rapid rise in bandwidth consumption and ever-increasing demand for enhanced products and greater broadband speeds, we anticipate continued significant growth for Aurora Networks.”

Goodwin Procter LLP provided legal counsel to TA Associates. Wilson Sonsini served as legal advisor to Aurora Networks.