UK-based Telit Communications, a provider of wireless technology, has entered into a licensing agreement with Italy-based Services for Electronic Manufacturing.
Subject to the terms and conditions of the agreement, Telit granted Services for Electronic Manufacturing (SEM) a non-exclusive, non-transferable license under a licensed trademark to market, distribute and sell WiMAX products including base stations and customer premise equipment worldwide.
As announced in June 2007, within the framework of a strategic alliance, Telit Wireless Solutions (TWS), a 90% owned subsidiary of the Telit, owns 19.9% of the share capital of SEM; the remainder being owned by Bartolini After Market Electronics Services (BAMES), which in turn holds the remaining 10% of the share capital of TWS.
As consideration for the grant of the license, SEM will pay Telit E3.5m, payable in three fully secured cash installments beginning in March 2010 and ending in March 2012.
Oozi Cats, CEO of Telit, said: The license agreement with SEM proves the strength of the Telit brand and technology and serves to further strengthen Telit’s strategic alliance with BAMES and SEM. We look forward to the continued success of the strategic alliance.
