Australian memory manufacturer Hypertec has been snapped up by server memory company Dataram Corporation as part of a worldwide buyout of the assets and activities of former parent company Memory Card Technology (MCT).
It is understood the $64 million deal with Dataram will leave MCT creditors with a 30 to 40 per cent dividend. The agreement includes the purchase of MCT's subsidiaries in Europe, Latin America, the Pacific Rim and Hypertec in Australia.
Danish-based MCT applied to the Bankruptcy Court for a suspension of payments in January following the resignation of company CEO John Trolle and a substantial lowering of expectations for turnover and profit for the last financial year.
The company later announced to the Copenhagen Stock Exchange that it had lost 624 million Danish kroner ($151 million) in the last seven months due to plummeting DRAM prices.
Princeton-based Dataram manufactures gigabyte memory upgrades for network servers for companies such as Compaq, HP, IBM, Intel, SGI and Sun Microsystems. The acquisition will allow the company to rapidly grow its manufacturing base. The company has facilities in Pennsylvania and a sales office in the United Kingdom.
"With the acquisition to MCT, Dataram is advancing its penetration of the European, Latin American and the Pacific Rim markets with state-of-the-art manufacturing and extensive sales presence while broadening its product line," Dataram chairman and CEO Robert Tarantino said in a statement.
In a letter to customers, Hypertec regional managing director Andy Molnar said the buyout would provide "enormous" benefits to the memory manufacturer's customers and business partners.
"It allows the two companies to deliver the highest levels of service with the broadest range of products in the industry -- combined worldwide," he said.
Courtesy Australian Reseller News: http://www.arnnet.com.au