SAN JOSE, CA- Cisco Systems has entered into a definitive agreement to acquire the broadband subscriber management software business of CAIS Software Solutions (CAISsoft), a wholly owned subsidiary of CAIS Internet of Washington DC.
CAISsoft offers software applications that enable service providers to more easily provision and manage high-speed broadband Internet services in hotels, apartments, and office buildings. Under the terms of the agreement, cash and Cisco common stock worth an aggregate value of approximately $170 million will be exchanged for the stock options and assets of the broadband subscriber management software business of CAISsoft. This acquisition will be accounted for as a purchase and is expected to be complete in the second quarter of Ciscos fiscal year 2001.
In connection with the acquisition, Cisco expects a one-time charge for purchased in-process research and development expenses not to exceed $0.01 per share. The acquisition was approved by board of directors of each company and is subject to various closing conditions. (10/20/00)