Boca Research Inc. and Zoom Telephonics Inc. Conclude Agreement
Zoom Acquires Boca's Global
Village and Other Analog Modem Business Assets BOCA
RATON, FL and Boston, MA, August 1st, 2000 -- Boca Research
Inc. (Nasdaq: BOCI) and Zoom Telephonics Inc. (NASDAQ: ZOOM)
announced today that they have concluded an agreement wherein
Zoom has acquired certain assets of Boca Research's Boca Global
subsidiary relating to the Company's analog modem business.
The agreement provides Boca Research with a smooth and customer-oriented
transition out of the analog modem business and into the software
and engineering design services business in fulfillment of
its strategic intent. Under the terms of the agreement,
Zoom has acquired from Boca selected trademarks, including
Global Village™, rights to all Global Village and Boca
Research branded products, and certain Web domain names. Boca
Research will continue to support all the products it has
already shipped and will remain responsible for warranty,
returns, and technical support for these products. In turn,
Boca will outsource support to Zoom to provide customers with
a single point of contact. As part of the agreement, Zoom
has leased Boca's Florida based technical support facility.
In general, Boca is entitled to be paid a purchase price
based on sales performance as follows: $500,000 if sales by
Zoom of Boca's existing products lines over the following
12 months exceed $12 million. The purchase price is subject
to increase if such sales exceed certain higher levels, as
provided in the agreement. Sales by Boca of its analog modem
products for the quarters ended March 31, 2000 and June 30,
2000 were $4.3 million and $2.7 million, respectively.
"We are excited to be bringing Boca Research and Global
Village into the Zoom® family of telecommunications products,
and we look forward to serving Boca's large customer base
with new products," said Frank Manning, President and
CEO of Zoom. "Zoom intends to introduce new products
for the Macintosh®, such as ADSL modems and cable modems,
under the Global Village name." Bob Ferguson,
CEO and Chairman of Boca Research, said, "Transitioning
to a software and engineering design services company has
been our stated strategy, and this announcement represents
a major milestone toward the realization of this vision."
About Zoom Telephonics Zoom Telephonics,
a communications leader since 1977, designs, produces, and
markets dial-up modems, cable and ADSL modems, wireless LAN
products, home phoneline networking products, and other data
communication products under the Zoom® and Hayes®
brand names. Zoom products are available in over 3000 of the
highest volume computer retailers in the USA and over 5000
retail outlets worldwide. For more information, visit Zoom
at www.zoom.com.
About Boca Research Founded in 1985 and headquartered
in Boca Raton, Fla., Boca Research Inc., through its wholly
owned subsidiary Inprimis Technologies Inc., is a provider
of design services and technology for the development of entertainment,
information and interactive systems as well as Internet-based
appliances. Inprimis offers software development, product
design and system engineering services to consumer electronics
manufacturers, cable and telecommunications companies and
Internet Service Providers. For more information,
call (561) 997-6227 or visit the company's Web site at www.inprimis.com. |
