The economy must be getting back to normal – Dialogic (www.dialogic.com) is “merging” with publicly-traded Veraz Networks.
Once the deal closes, the name of the final entity will be Dialogic. Current Dialogic CEO and Chairman of the Board Nick Jensen won’t have to change business cards; he will be Chairman of the Board and CEO of the final entity. Current Veraz Networks President and CEO Doug Sabella will be President and COO. Corporate HQ will be in San Jose, California.
The merger provides the “old” Dialogic with two things – new products and a publicly traded stock. Veraz Networks has switching and bandwidth optimization products and services in 130 service providers in over 80 countries.
When the deal closes sometime in the second half of 2010, Dialogic shareholders will own 70 percent of the new company while Veraz Networks peeps will have 30 percent. The merged company’s revenues are expected to be greater than $250 million with gross margins of 60 to 65 percent and EBDITA of 10 to 15 percent of revenues.
It is also “expected” that the merged company will continue to be traded on NASDAQ – and if it didn’t, I’d be real surprised.