Openwave Systems says that it has completed the discussions announced last week with Microsoft and will sell its Musiwave subsidiary to the IT giant for US$46 million in cash. Microsoft will also take on approximately $4 million in net debt.
"MusiwaveÃ's strong customer relationships, superior quality of services, and leadership position in mobile music were attractive to Microsoft and contributed to the ultimate purchase price," said Robert Vrij, president, CEO and interim Chairman, Openwave. "As we committed to our investors, the divestiture of Musiwave was an important component of the plan developed by the Openwave Board and management team to focus on driving market leadership in the core assets of our business, including service management, messaging, client and location."
Openwave brought Musiwave in September 2005 and paid roughly US$120 million for the company.
A provider of mobile music entertainment services, Musiwave distributes its services in 25 countries through 35 mobile telecommunications operators and handset manufacturers.
Posted to the site on 19th November 2007
Posted to: www.cellular-news.com/story/27538.php