Centillium Communications Completes Acquisition of vEngines, a Leading Developer of Voice-Over-Packet Single Chip Solutions.Business Editors & High-Tech Writers FREMONT, Calif.--(BUSINESS WIRE)--Jan. 8, 2001 Centillium Strengthens Lead in the Voice-Data Convergence Market Centillium Communications, Inc. (Nasdaq:CTLM CTLM Imaging Computed tomography laser mammography A diagnostic technique using lasers to produce a 3-D cross-sectional image of the breast without x-rays. See Mammography. ), innovator of broadband communications technology Noun 1. communications technology - the activity of designing and constructing and maintaining communication systems engineering, technology - the practical application of science to commerce or industry , today announced that it has completed the acquisition of vEngines, Inc. vEngines develops high-density voice processing The computerized handling of voice, which includes voice store and forward, voice response, voice recognition and text to speech technologies. semiconductor products which bridge circuit switched voice and packet-based data networks. This leading technology compresses voice traffic, converting it into digital packets, which can then travel on data networks. vEngines' targeted customer base includes communications equipment manufacturers that provide carrier and access voice gateways and remote access servers. In connection with the acquisition, Centillium issued an aggregate of 813,915 shares of its Common Stock in exchange for all outstanding shares of vEngines Preferred and Common Stock and reserved 59,344 additional shares of Common Stock for issuance upon exercise of outstanding vEngines employee stock options. The share issuances were exempt from registration pursuant to section 3(a)(10) of the Securities Act of 1933, as amended. Approximately 36% of the shares issued will be held in escrow or restricted from resale pursuant to the terms of the acquisition agreement as well as various employee share repurchase Share Repurchase A program by which a company buys back its own shares from the marketplace, reducing the number of outstanding shares. This is usually an indication that the company's management thinks the shares are undervalued. agreements. The merger transaction will be accounted for under the purchase method of accounting. Centillium expects to record a one-time charge for purchased in-process research and development expenses related to the acquisition in its first fiscal quarter, ending March 31, 2001. About Centillium Communications Centillium Communications, Inc. is combining technical innovation and customer commitment to make broadband communications a mass-market reality. Centillium consistently delivers value to its customers by providing broadband networking systems for applications across all market segments. The company designs and markets communications chipset solutions for central office equipment, DLC (1) (Data Link Control) See data link and OSI. (2) (Data Link Control) The data link layer protocol (layer 2) that is used in IBM's SNA networking. See SNA, data link protocol and Microsoft DLC. line cards, and customer premise equipment for Digital Subscriber Line See DSL. (communications, protocol) Digital Subscriber Line - (DSL, or Digital Subscriber Loop, xDSL - see below) A family of digital telecommunications protocols designed to allow high speed data communication over the existing copper telephone lines between end-users and (DSL DSL in full Digital Subscriber Line Broadband digital communications connection that operates over standard copper telephone wires. It requires a DSL modem, which splits transmissions into two frequency bands: the lower frequencies for voice (ordinary ), home networking and Voice-Over-Packet. Centillium Communications, Inc. is located at 47211 Lakeview Blvd., Fremont, CA 94538. Additional information is available at www.Centillium.com. Forward Looking Statements Except for historical information contained in this press release, the foregoing contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from those indicated by such forward-looking statements based on a variety of risks and uncertainties, including the risks and uncertainties relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc actual quantities and timing of any orders received under the contract and the successful development and market acceptance of Centillium's new products. Information about potential factors that could affect Centillium's financial results is included in Centillium's prospectus and Quarterly Reports on Form 10-Q Form 10-Q See 10-Q. and will be included in Centillium's Annual Report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. , which will be filed with the Securities and Exchange Commission. Note to Editors: Copyright 2001 Centillium Communications, Inc. All rights reserved. All other products or service names mentioned herein are the property of their respective owners. |
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