Tejas Networks also intends to proceed with acquiring the balance 35.60% shares through a merger process or a secondary acquisition
Telecom gear maker Tejas Networks is acquiring 64.40 percent shares of Bangalore-based semiconductor firm Saankhya Labs Private Ltd. in an all-cash deal of Rs 283.94 crore. The company said in a statement that the initial acquisition of Saankhya shares is expected to close within the next 90 days.
Tejas Networks, which is part of the Tata Group, upon procuring all necessary consents and approvals, also intends to proceed with acquiring the balance 35.60% shares through a merger process or a secondary acquisition.
Founded in 2007, Saankhya develops system and semiconductor products for cellular Wireless, Broadcast radios and Satellite communication ground-terminal, which are deployed by customers in India and in international markets and also has 73 international patents (41 granted, 32 filed). Saankhya has a strong technology team of more than 250 engineers, with deep expertise in wireless communication systems and fabless-semiconductor design.
Sanjay Nayak, CEO & MD of Tejas Networks said, “We are committed to our vision to create a global telecom equipment company from India, which will provide an end-to-end stack of world-class products and solutions based on latest technologies and customer requirements. This acquisition shows our continued commitment to expand our wireless product offerings to address the growing market opportunity. Saankhya’s products would complement our existing 4G/5G Radio Access Network (RAN) products and positions us well for the emerging opportunities in the O-RAN and 5G Broadcast space. We are excited to welcome the highly talented and experienced team of Saankhya and the intellect and domain expertise they bring for wireless as well as semiconductor design. We expect that this acquisition will accelerate our roadmap to create a full range of trusted and secured, world-class telecommunication products.”
Parag Naik, Co-founder and CEO of Saankhya Labs said, “We are delighted to become a part of Tejas Networks, which is India’s leading telecom equipment company. Being part of Tejas Networks gives us a strong platform to scale up the business for our wireless products and technologies in India as well as in to international markets. Our customers and partners will also benefit from a larger product portfolio and an accelerated roadmap of our products. This merger will further Saankhya’s founding team’s vision to build a world class technology company from India.”
ONE Media 3.0, LLC which is the largest shareholder of Saankhya, will sell majority of its shareholding in Saankhya and post merger, will retain a minority shareholding in Tejas.