VocalTec Communications and YMAX have merged and formed anew entity, which is valued at $245m approximately with a per share value of $17.50 on July 19, 2010.
The company said that the combination of patents and softphone/softswitch technology are the primary drivers of the merger, with the combined entity having the use of over 30 patents, including some which date back to VOIP invented by VocalTec.
In addition, YMAX will bring in the success of the magicJack in the form of brand equity, distribution and advertising across many outlets.
YMAX has largest reaching Competitive Local Exchange Carrier (CLEC) in the US in terms of area codes available and certification in number of states. The company has its own chip development and application server/softswitch company. VocalTec also adds softswitch, application servers and the softphone to the merged entity.
Ido Gur, who will remain in charge of VocalTec’s Israeli operations, said: "I am excited about the potential to become the worldwide, leading provider of VOIP and softphone applications using SIP.
"I strongly believe that the synergies enabled by this business combination will allow us to achieve this target. I trust the leadership and of Dan Borislow to make this a reality."
