Deal expands supplier’s NAS options
LSI Corp is to buy ailing ONStor Inc in a $25 million all cash deal that broadens the product portfolio options of the Milpitas California-based supplier with the addition of clustered network-attached storage systems.
The combination creates an expanded portfolio of network-attached storage (NAS) solutions to help enterprises address rapid growth of unstructured data, the companies said.
Privately held ONStor produces NAS gateways, NAS systems and unified storage systems that are used to store and manage the volumes of unstructured data produced by enterprises.
Venture backed and with over $100 million of funds having been pumped into the business, the company appears to have hit hard times.
The transaction is expected to close within 30 days, and is expected to be neutral to non-GAAP earnings per share in 2009, LSI has confirmed.