ARC International, a chip company in Elstree, England, said it has acquried the assets of Teja Technologies, a private San Jose, Ca. multiprocessor company, to help improve ARC’s products.
The acquisition price was $5 million, with $3.4 million paid upfront, and the rest distributed once certain milestones are reached. That’s a lot less than what investors pumped into the company over the past eight years: Teja was founded in 1999, and raised about $24 million from venture firms including Intel Capital, Mayfield Fund, RRE Ventures, Tallwood Venture Capital, Viventures Partners and SmartForest Ventures.
From the statement:
For the year ended December 31, 2006 Teja reported a loss of $3.3 million. The gross assets of Teja on March 30, 2007 were $900,000 (USD). Under the terms of the UKLA listing rules this acquisition is a Class 2 transaction and does not require shareholder approval.