Not only Microsoft is buying up Israeli start-ups. Brazilian optical network solutions giant Padtec has paid $30-40 million for Civcom, an Israeli pioneer in the development and manufacturing of cost saving optical solutions for communications, test and measurement, and military applications. The move comes on a wave of rapid expansion for Padtec as it seeks to become a major player in the international optical communications market.
According to Jorge Salomão Pereira, CEO and Head of Technology Division at Padtec,
“The Civcom acquisition is much more than a typical company acquisition. It represents a great opportunity to offer competitive solutions to the high speed optical communication market.”
Meron Raz, CEO of Civcom, adds that the acquisition will “will increase [Civcom’s] worldwide market share and will add leading knowledge and more capability” to their products and technology.That buyout doesn’t exactly break the bank for Civcom’s investors Pitango, JVP, Concord, Ascend, Formula, and Morris Kahn’s Aurum Ventures. They invested nearly $38 million in the company. But hey, you win some, and you break even on others.
By Dani Dechter