Enablence Technologies Inc. (ENA.V), a Canadian supplier of fiber-to-the-premises (FTTP) equipment for triple-play residential and business services, today announced it has signed plans to acquire Pannaway Technologies Inc. and to merge the firm with its FTTx Networks Division.
The deal, for an unspecified sum in a stock swap, is subject to multiple approvals. Enablence said the two companies had been working together for six months. It’s the latest evidence of consolidation in the shrinking broadband access industry segment.
Both companies had already expanded through buying all, or parts of, other broadband networking firms.
“With this merger, Enablence's FTTx Division will have one of the broadest set of access solutions in the industry, an expanded customer base of 420 customers and a capability to provide our customers with an evolutionary path from Ethernet/IP to FTTx using state of the art technologies," said Arvind Chhatbar, CEO of Enablence, in prepared comments.
The CEO anticipates the merger will permit the entire FTTx Division will help the company’s drive to profitability.
The operations of the two companies will be streamlined to help achieve cost savings and move toward profitability, according to Pannaway.
