Tekelec to Buy Most Assets of North Carolina Firm
- Share via
Tekelec in Calabasas agreed to buy most of the assets of Protocol Technologies, based in Raleigh, N.C., for $3.5 million in cash. Both companies make equipment for testing telecommunications systems.
The agreement also calls for Tekelec to pay up to $3 million to Protocol over the next three years based on sales of products that use Protocol’s technology.
In addition, Rex R. Hester and Fred E. Tinch, founders and principal owners of privately held Protocol, agreed to become vice presidents of Tekelec and not to compete against Tekelec for five years. In exchange, they will be paid up to a combined $2 million over that period.
Tekelec earned $749,000 on revenue of $17 million last year. Protocol reported pre-tax income of about $1.5 million on sales of $2.75 million.
Inside the business of entertainment
The Wide Shot brings you news, analysis and insights on everything from streaming wars to production — and what it all means for the future.
You may occasionally receive promotional content from the Los Angeles Times.
