IDT Corporation to Sell Fabrix Systems
September 12 2014 - 7:00AM
Business Wire
IDT Corporation (NYSE:IDT), a global provider of
telecommunications and payment services, announced today that it
has reached an agreement to sell its interests in Fabrix Systems
(Fabrix) to Ericsson. The sale price for 100% of the shares in
Fabrix Systems is $95 million, subject to working-capital and other
customary adjustments. IDT owns approximately 78% of Fabrix on a
fully diluted basis.
The sale is expected to close in October 2014, subject to
customary conditions. IDT acquired a majority stake in the
Israel-based Fabrix in 2007, and the business has grown
significantly since then.
Shmuel Jonas, IDT’s CEO, said, “This sale further sharpens our
strategic focus on our growing communications and payments
businesses, and represents another in a string of successful
efforts to maximize shareholder value by selling or spinning off
non-core businesses we have created or nurtured.”
IDT Corporation has spun off three public companies to its
shareholders over the past five years: CTM Media Holdings Inc. (OTC
Pink Markets: CTMMA, CTMMB); Genie Energy Ltd, (NYSE: GNE), and
Straight Path Communications Inc., (NYSE MKT: STRP).
Fabrix is a leading provider of cloud storage, computing and
network delivery for video applications. Fabrix has pioneered a
cloud based scale out storage and computing platform focused on
providing a simple, tightly integrated solution optimized for media
storage, processing and delivery applications such as Cloud DVR,
and VOD expansion. Its innovative approach takes advantage of the
latest advances in clustered storage; grid computing;
virtualization and video processing technologies enabling a wide
range of applications.
Forward Looking
Statements:
All statements above that are not purely about historical facts,
including, but not limited to, those in which we use the words
“believe,” “anticipate,” “expect,” “plan,” “intend,” “estimate,
“target” and similar expressions, are forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995. While these forward-looking statements represent our
current judgment of what may happen in the future, actual results
may differ materially from the results expressed or implied by
these statements due to numerous important factors. Our filings
with the SEC provide detailed information on such statements and
risks, and should be consulted along with this release. To the
extent permitted under applicable law, IDT assumes no obligation to
update any forward-looking statements.
About IDT Corporation:
IDT Corporation (NYSE: IDT), through its IDT Telecom division,
provides retail telecommunications and payment services to help
immigrants and the under-banked to conveniently and inexpensively
communicate and share resources around the world. IDT Telecom’s
wholesale business is a leading global carrier of international
long distance voice calls. IDT also holds majority interests in two
early-stage technology companies focused on high growth industries:
Zedge (www.zedge.net), a mobile content discovery and acquisition
platform, includes one of the most popular Apps for Android and
iOS; Fabrix Systems (www.fabrixsystems.com), a cloud based scale
out storage and computing platform, provides a scalable solution
optimized for media and big data processing and delivery. For more
information, visit www.idt.net.
Investor RelationsIDT CorporationBill Ulrey,
973-438-3838invest@idt.net
IDT (NYSE:IDT)
Historical Stock Chart
From Aug 2024 to Sep 2024
IDT (NYSE:IDT)
Historical Stock Chart
From Sep 2023 to Sep 2024