Acquisitive US networker Whittaker Communications has bought rival Xyplex for $67.5 million cash and $50 million in stock. Subject to approval, the deal creates a networking company specialising in ATM and high-speed switching, with a combined 1995 turnover of $267 million.
The deal also gives Whittaker its first opening in the UK. Xyplex already has a sales office in the UK and sells only through the channel.
Xyplex sales manager Adam Darby said that Whittaker was also channel-only and that would continue. 'They have more distributors than us so we will gain some. We can grow the business in the UK,' he said.
Whittaker Communications is part of the US Whittaker aerospace group. A representative for the group said that it expected to get around 60 per cent of the group's revenues from networking business after the acquisition.
In April 1995 Whittaker bought Hughes Lan systems.
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