SUN MICROSYSTEMS TO ACQUIRE LSC, INC.; DRIVES TOWARD SIMPLE AND AUTOMATED DATA MANAGEMENT FOR OPEN STORAGE NETWORKSSUN MICROSYSTEMS TO ACQUIRE LSC, INC.; DRIVES TOWARD SIMPLE AND AUTOMATED DATA MANAGEMENT FOR OPEN STORAGE NETWORKS
PALO ALTO, CA -- February 2, 2001 -- Sun Microsystems, Inc. (NASDAQ: SUNW) today announced that it has signed an agreement to acquire LSC, Inc., a privately held company based in Eagan, Minnesota. LSC is a pioneer in high-performance file systems and data storage software. With this acquisition, Sun intends to reinforce its strength in open storage networks software by delivering simple and automated end-to-end data management to its customers. Under the terms of the agreement, Sun will acquire LSC in a stock-for-stock transaction worth approximately $74 million. This acquisition will be accounted for as a purchase and in-process R&D charges are expected to be immaterial. Going forward, Sun expects the combined results of LSC and its existing storage business to be accretive to Sun's proforma earnings. This acquisition is subject to governmental approval and the approval of LSC's stockholders, as well as customary closing conditions. Following completion of the acquisition, Sun plans to make LSC a part of Sun's Network Storage organization, led by Executive Vice President Janpieter Scheerder. "The acquisition of LSC is just one more execution point in our strategy to deliver dramatically simplified management software for open storage networks," said Janpieter Scheerder, executive vice president of Sun Network Storage. "Sun has invested heavily in storage software, developing over one million lines of code. Today's announcement, combined with the recent HighGround Systems acquisition announcement, reinforces Sun's position as a leader in open storage management software." LSC provides a hierarchical data-sharing file system and storage system software designed to enable Sun's customers to intelligently share, place, backup and archive data with automation and ease, resulting in efficient use of their storage resources. The company's flagship products, Storage and Archive Manager-File System (SAM-FS) and Quick File System (QFS), are advanced storage management solutions designed to deliver high performance and automated file and media management to data intensive applications. "LSC's technology is expected to expand Sun's network-centric data services architecture to deliver easy-to-use tools for end-to-end data management," said Brad Balogh, CEO of LSC. "Sun is already a major force in the storage market. When LSC's advanced storage software and broad customer base are combined with Sun's strong sales force and its ability to offer complete systems solutions, Sun should further increase its presence in the world of easily managed storage." In December, Sun announced its intent to acquire Marlborough, Massachusetts-based HighGround Systems, Inc., a provider of storage resource management solutions for distributed open systems environments. This acquisition is subject to governmental and shareholder approvals, as well as customary closing conditions. About LSCHeadquartered in Eagan, Minnesota, LSC designs, develops, and supports advanced storage management software for open systems, marketed through a network of OEMs, resellers, and integrators. LSC's QFS and SAM-FS (Storage Archive Manager) software, is the product of choice for organizations that require smart, innovative and secure data management. LSC's solutions provide a combination of performance, scalability, reliability and features that have won it worldwide acceptance. Information on LSC is available on the World Wide Web at http://www.lsci.com, by calling 1-800-831-9482, or writing to 1270 Eagan Industrial Road, Suite 160, Eagan, MN 55121-1231. About Sun Microsystems, Inc.Since its inception in 1982, a singular vision - The Network Is The Computer -- has propelled Sun Microsystems, Inc. (Nasdaq: SUNW), to its position as a leading provider of industrial-strength hardware, software and services that power the Internet and allow companies worldwide to dot-com their businesses. With $17.6 billion in annual revenues, Sun can be found in more than 170 countries and on the World Wide Web at http://sun.com.
This press release contains forward looking statements that involve risks and uncertainties. These forward looking statements include statements regarding Sun's intentions to reinforce its strength in the open storage networks software market, expectations regarding the closing of the LSC acquisition and the HighGround acquisition and the placement of LSC within Sun's Network Storage organization, Sun's expectations that the combined results of LSC and its existing storage business will be accretive to Sun's proforma earnings, the proposed effect of the acquisition on Sun's strategy, leadership position and presence in the open storage management market, the increased benefits LSC products will bring to Sun's customers and the expectations that LSC's technology will expand Sun's network-centric data services architecture. These forward looking statements are based on current expectations that involve risks and uncertainties. Actual results may differ materially. Factors that might cause such a difference include risks surrounding the closing of the LSC and HighGround acquisitions, the successful integration of LSC and LSC products into Sun and Sun's product lines, the ability of Sun to continue developing new and improved products and/or product features, customer acceptance of LSC's products, Sun's ability to successfully distribute LSC's products to Sun's and LSC's customers and intense competition in the marketplace. Sun, Sun Microsystems, the Sun Logo, and The Network Is The Computer are trademarks or registered trademarks of Sun Microsystems, Inc. in the United States and other countries.PR Contacts for Press and Analysts:
Press Release Finder
| |||||||
 |
|