Amadeus’ second profitable semiconductor exit this year
Amadeus Capital Partners, the European technology investor, today announced the sale of its stake in Xelerated, a leading technology innovator in network processing and programmable Ethernet switching products, based in Stockholm, Sweden, and Santa Clara, California, to Marvell Technology Group (NASDAQ: MRVL), a worldwide leader in integrated silicon solutions. Financial details are not disclosed but the sale represents Amadeus’ second profitable semiconductor exit in the past 12 months, following the $367 million sale of Icera to NVIDIA in May 2011.
Amadeus first invested in Xelerated in 2005 and has supported the company’s product development and business expansion since then. The company’s products are used in the design of Carrier Ethernet, Unified Fibre Access and Mobile Backhaul platforms and deployed by eight out of ten of the world’s largest telecom equipment vendors.
Commenting on the deal, Amadeus Venture Partner Simon Cornwell, who also chairs Xelerated’s Board of Directors, said: “This is an excellent step for Xelerated and we wish the company continued success as part of Marvell, one of the world’s most impressive technology companies. Xelerated’s network processors and programmable switches complement Marvell’s existing product portfolio and will allow the creation of world-leading solutions for cloud computing services, running at 100 Gbps and beyond. The synergies are strong and will benefit both entities in this exciting and fast-growing sector”.
“Flexible processing and advanced traffic management are two of Xelerated’s strongest IP assets and are essential to the deployment of successful cloud-based services,” said Eva Lindqvist, CEO of Xelerated. “We are pleased to join the Marvell family to provide more comprehensive end-to-end solutions and strengthen the value proposition we can provide to our customers.”
“Xelerated’s synergy with Marvell sets the stage for significant progress in the way service providers leverage and monetise the cloud,” said Paul Valentine, vice-president of marketing for Cloud Services and Infrastructure Business Unit at Marvell Semiconductor, Inc. “The acquisition reflects Marvell’s ongoing commitment to network infrastructure solutions designed to enable cloud-based services. Xelerated brings yet another level of performance and capability to Marvell’s technology, enabling customers quickly to scale their services beyond 100 Gbps while maintaining the low power, low latency and deterministic performance necessary for the reliable mobile Internet and cloud services.”
The sale of Xelerated marks Amadeus’ seventh exit in just over a year, following the sales of EpiServer Group AB to IK Investment Partners, Liquavista to Samsung, Forth Dimension Displays to Kopin Corporation, Icera to NVIDIA, Clearswift to Lyceum Capital and the IPO of Transmode Holdings AB on the NASDAQ OMX Stockholm (a rare successful European IPO in 2011).
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For further information, please contact:
Chantal Ligertwood, PR for Amadeus, +44 (0)7976 229 210 chantal@ligertwood.net