FastComm Communications Corp has acquired all of the shares of Comstat Datacomm Corp, a privately-held manufacturer of data communications products based outside of Atlanta, Georgia, in exchange for shares of FastComm Common Stock. The transaction was effective on January 31, 1997. Comstat Datacomm Corp initially provided legacy to client-server migration solutions for Unisys computer users but more recently has built on that business adding X.25, HDLC, SNA, and Frame Relay capability to their product offerings, which include frame relay protocol converters, and legacy-to-local network gateway devices enabling customers to move their business applications to client-server environments. Calendar year 1996 sales for Comstat were approximately $2.5m. Operations to date though unaudited, have been profitable, says Fastcomm. Details of the purchase, for FastComm stock, were not disclosed. The sale, to be accounted for under the purchase method, as a third quarter event for FastComm’s fiscal 1997, does not require shareholder approval. In conjunction with the purchase, FastComm will take a one-time non-cash charge against, among other things, in-process technology and costs of the transaction.
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