Ekinops (Euronext Paris - FR0011466069 – EKI) says it has completed the acquisition of OneAccess, a company that specializes in software platforms that enable support of network functions virtualization (NFV). Ekinops announced this past March that it had entered exclusive negotiations for the stock and cash deal, which valued OneAccess at 58 million euros (approximately $68 million). The acquisition enables the company to increase its product range and access to key service providers.
Ekinops asserts the acquisition will positionthe optical transport systems specialist to excel in the support of transport, Ethernet, and corporate routing services for telecommunications networks. NFV, internet traffic expansion, and other industry trends are increasing customer demand for the technology that Ekinops and OneAccess are developing, the company adds. Thus, its customers will benefit from the merged technological vision of the two companies and their complementary product sets.
OneAccess has established a presence with large operators, including 15 customers in the world's top 30, and Ekinops says it primarily serves second-tier carriers, predominantly in the U.S. market. The company therefore expects to exploit the expanded product range and limited overlap of the two companies' customer bases. In particular, the company's larger size should enable it to compete more readily for business with larger customers.
Ekinops estimates the combined revenues of the two companies at approximately 76 million euros and EBITDA margin of 6.3% (2016 proforma). As of September 29, 2017, the market capitalization of the new group stood at approximately 119 million euros.
"With the completion of this acquisition, Ekinops will be a stronger company, positioned for future growth," said Didier Brédy, Ekinops chief executive officer. "Our shared technological vision, strong software culture, and significant commercial, geographic and product set complementarity will enable us to create value for our customers, employees, and shareholders."
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