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February 2, 2010

Radvision to acquire assets of Aethra

To enhance its video network infrastructure and desktop offerings

By CBR Staff Writer

Radvision, a provider of video network infrastructure and developer tools for unified visual communications over IP, 3G, and IMS networks, has entered into an agreement to acquire selected assets of the Aethra group of companies, of Ancona, Italy, including certain intellectual property and technology for HD video conferencing endpoint systems.

The company said that the purchase price for the assets acquired is approximately €7m cash. In addition, the company will assume certain specific liabilities related to the acquisition of approximately €3m. The transaction is expected to be accretive starting in the fourth quarter of 2010.

Radvision said that it plans to integrate Aethra’s HD video endpoint technology with its video network infrastructure and desktop offering to provide a full video conferencing portfolio. It also plans to use the Aethra technology to offer room conferencing systems.

The addition of the Aethra technology assets is expected to enhance the company’s existing video network infrastructure and desktop offerings. It also complements the company’s a HD desktop offering VC 240, which it developed in partnership with Samsung.

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Boaz Raviv, chief executive officer of Radvision, said: “The addition of the Aethra HD video assets will enable us to quickly provide a very high quality and competitive endpoint product for the enterprise market. In addition, we plan to capitalise on Aethra’s distribution network to deepen our overlapping channel relationships and add new ones.

“We plan to introduce our new room conferencing system based on the acquired Aethra technology integrated with our existing Scopia portfolio later this year. Most importantly, this transaction will enable us to effectively advance our strategy and more fully take advantage of new opportunities in the rapidly growing and dynamic video conferencing market.”

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