ALISO VIEJO, Calif.--Feb. 15, 2006--QLogic Corporation, the leader in Fibre Channel host bus adapters (HBAs), stackable switches and blade server switches, today announced that it has entered into a definitive agreement to acquire PathScale, Inc. Pursuant to the terms of the agreement, the Company will pay approximately $109 million in cash and assume the outstanding unvested stock options of PathScale. The acquisition is expected to close in early April following the satisfaction of customary closing conditions.
"PathScale's InfiniBand technology allows users to deploy large clusters of inexpensive rackmount and blade servers running Linux for high-performance applications," said H.K. Desai, the Company's chief executive officer and president. "This acquisition demonstrates our commitment to entering new, high-growth markets that enhance our ability to achieve accelerated growth."
Based on InfiniBand technology, PathScale designs and develops System Area Network fabric interconnects targeted at high-performance clustered system environments. Since InfiniBand became a standard in 2001, there has been a growing base of server OEMs who support InfiniBand as the System Area Network fabric interconnect of the future. PathScale's InfiniPath(TM) InfiniBand Host Channel Adapter and OpenIB software provide the highest performance based on well-known metrics that measure latency and bandwidth.
"The synergy created by PathScale's industry leading technology and QLogic's strong market presence and operational excellence will assist us greatly in achieving InfiniBand market leadership," said Scott Metcalf, chief executive officer and president of PathScale. "We are pleased to be part of the QLogic team and look forward to playing an integral part in QLogic's ongoing success."
A conference call to discuss the acquisition of PathScale is scheduled for today at 3:00 p.m. Pacific Time (6:00 p.m. Eastern Time). H.K. Desai, chief executive officer and president, and Tony Massetti, senior vice president and chief financial officer, will host the conference call. The call is being webcast live via the Internet at www.qlogic.com. Phone access to participate in the conference call is available at (719) 457-2654, pass code: 2575422.
A replay of the conference call will be available via webcast for 12 months on the Company's website at www.qlogic.com. An audio replay of the conference call will also be available through March 1, 2006 by calling (719) 457-0820, pass code: 2575422.
QLogic is the leading supplier of Fibre Channel host bus adapters (HBAs), blade server embedded Fibre Channel switches and Fibre Channel stackable switches for storage area networks. The Company is also a leading supplier of iSCSI HBAs. QLogic products are delivered to small, medium and large enterprises around the world, powering solutions from leading companies like Cisco, Dell, EMC, HP, IBM, NEC, Network Appliance and Sun Microsystems. QLogic is a member of the S&P 500 Index. For more information visit http://www.qlogic.com .
Note: All QLogic-issued press releases appear on the Company's website (www.qlogic.com). Any announcement that does not appear on the QLogic website has not been issued by QLogic.
PathScale, Inc. develops technologies that enable breakthroughs in high-performance computing, science and engineering. The PathScale InfiniPath InfiniBand Adapter and EKOPath Compiler Suite drive Linux® clusters to performance levels that can exceed the world's most powerful supercomputers. Today, PathScale technologies are the choice of leading scientific and engineering organizations to more effectively solve complex computational challenges, from aerospace and automotive design simulations to weather modeling and drug discovery. PathScale is headquartered in Mountain View, Calif. For more information, visit http://www.pathscale.com .