About four months after announcing its intention to sell off its WiMAX business, Aviat Networks announced it has found a buyer. The company said it sold the business to EION Networks, a privately owned Canadian company in Ottawa for an undisclosed amount.
Aviat bought WiMAX vendor Telsima back in 2009 for $12 million, and won a deal with rural broadband operator Open Range to run Open Range's WiMAX network. However, Open Range (a Fierce 15 winner) recently made a network deal with LightSquared, which is aiming to build a nationwide wholesale LTE network. In May, as part of a company restructuring aimed at reducing costs, streamlining operations, and optimizing the company's business model, Aviat Networks announced its intentions to sell the WiMAX business. Aviat's fiscal third-quarter net loss from continuing operations was $25.5 million.
"The sale of the WiMAX business will enable us to better focus our resources and investments on our microwave transmission products, further positioning us for long-term success," said Michael Pangia, president and CEO of Aviat Networks in a release. "We will work with EION Wireless to ensure a smooth transition for both our customers and employees."
Aviat's WiMAX business will be consolidated into a division of EION Networks, called EION Wireless, as a result of the sale. EION Wireless wants to extend its broadband wireless solutions portfolio with the purchase of this business.
For more:
- see this release
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