Overland Storage (OVRL +8.9%) acquires German data storage/protection solutions provider Tandberg Data in an all-equity deal. Tandberg shareholders will own 54% of the combined entity. The deal is expected to close in Dec.
Tandberg generated TTM revenue of $60M; the combined company will have annual revenue of more than $100M. A senior VP of Tandberg noted, "Partners look at the viability of a company; and $100M sounds a lot more viable than $40 million or $50 million."
The acquisition will add Tandberg's reach in Germany, Japan, and France, as well as its manufacturing facility in China, to Overland's footprint. The combined entity will have over 16K channel and service partners.