Redwood Capital advises Kentrox on its sale to Westell Technologies

  • Year
    March/2013
  • Sector
    Infrastructure technology Industrial Tech
  • Our Mission
    Exclusive financial advisor to Kentrox

Internet of Things

NEW YORK | LOS ANGELES | GENEVA | March 18th, 2013 – Redwood Capital announced today that Kentrox®, Inc., a worldwide leader in intelligent site management solutions, has signed a definitive agreement to be acquired by Westell Technologies, Inc. (NASDAQ: WSTL), a leading provider of telecommunications equipment for wireline, wireless and home networks. The $30 million cash transaction is expected to close on April 1, 2013.

“Kentrox is a perfect fit with our growth strategy,” said Rick Gilbert, Westell’s chairman and chief executive officer. “The company is a leader in providing intelligent site management solutions with a wireless focus, significant software content, and global reach. Kentrox has outstanding customers and solutions that complement Westell’s. In addition, it has an impressive team, excellent capabilities and real sales momentum. We expect the acquisition to propel us to about $80 million in annual revenue and add to earnings in fiscal 2014, which starts on April 1.”

Kentrox is an innovator in comprehensive monitoring, management and control of remote sites, such as cell sites and towers. Its solutions allow network operators and service providers to reduce costs while improving network performance and security. Kentrox customers include major wireless and fixed-line telecommunications carriers, tower providers, cable and broadband network providers, utility companies, and enterprises. The company had revenues of approximately $29 million for the 12 months ended December 31, 2012.

“This is a great combination for our customers and employees,” explained Rich Cremona, Kentrox president and chief executive officer. “Westell has excellent customer relationships, supply chain capabilities, and financial strength that will help Kentrox continue to develop and market world-class solutions and leverage our growth.”

Redwood Capital served as exclusive financial advisor to Kentrox, Inc.

About Kentrox

Based in Dublin, Ohio, Kentrox, Inc. is a worldwide leader in intelligent site management solutions, providing comprehensive monitoring, management and control of any site. The machine-to-machine (M2M) communications Kentrox provides enable service providers, tower operators, and other network operators to reduce operating costs while improving network performance. With more than 1 million products successfully deployed in tower, carrier, and enterprise environments, Kentrox is a trusted partner for transforming networks into high quality, reliable systems. The company provides solutions to customers in North and South America, Australia, Africa, and Europe. Kentrox is majority owned by Investcorp Technology Partners.

For more information, please visit www.kentrox.com

About Westell

Westell Technologies, Inc., headquartered in Aurora, Illinois, designs, distributes, markets and services a broad range of carrier-class communications equipment. This includes digital transmission, remote monitoring, power distribution, demarcation and cell-site optimization products used by wireline and wireless telecommunications service providers, industrial customers, and home network users.

For more information, please visit www.westell.com.

About Drake Star Partners

Drake Star Partners is a global investment banking firm serving the technology, media and communications sectors (TMC) with offices in New York, London, Paris, Munich, San Francisco, Los Angeles, Berlin, Geneva, Singapore* and Dubai*. The firm focuses on M&A and corporate finance for its clients worldwide. Drake Star Partners completed over 400 transactions since 2004, 70% of which are cross-border.

Drake Star Partners is the marketing name for the global investment bank Drake Star Partners Limited and its subsidiaries and affiliates. In the USA, all securities are transacted through Drake Star Securities LLC. In the USA, Drake Star Securities LLC is regulated by FINRA and is a member of SIPC. Drake Star UK Limited (FRN 942020) is an appointed representative of Kession Capital Ltd (FRN582160) which is authorised and regulated by the Financial Conduct Authority. © 2016 Drake Star Partners Limited.

www.drakestar.com

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James Turino Full
Biography
James Turino
Managing Partner, Member of the Executive Committee Software/SaaS Industrial Tech