News Feed Item
Echelon Signs Definitive Agreement With S&T AG to Purchase Its Grid Operations
|By Business Wire
|August 22, 2014 02:30 AM EDT
Echelon Corporation (NASDAQ:ELON), the open-interoperable control
networking pioneer for the Industrial Internet of Things (IIoT), today
announced that it has signed a definitive agreement to sell its Grid
operations to S&T AG, a publicly traded European IT systems provider
with an existing focus on smart energy products and services. The
closing is conditioned upon regulatory approvals. The companies expect
the deal to close by the end of the year.
“This transaction will allow us to focus fully on becoming a key enabler
in the transition to the Industrial Internet of Things, with the
confidence of knowing that S&T will continue to operate our grid
business and support our customers, partners and sales pipeline,” said
Ron Sege, chairman and CEO, Echelon Corp. “With the closing of this
agreement, we can turn our attention to developing, marketing and
selling our industry-leading, open-interoperable control networking
platform for the IIoT — especially bringing the benefits of IP-based
converged control systems to building automation, outdoor lighting and
indoor lighting applications worldwide.”
“Acquiring Echelon’s grid business means an important expansion of our
Smart Energy capabilities, further demonstrating our commitment to the
energy market and our belief in the smart grid opportunity,” said Hannes
Niederhauser, CEO of S&T. “Utilities favor end-to-end offerings from
proven vendors with the experience, assets and people required to
successfully deliver grid modernization solutions. We look forward to
combining Echelon’s successful Networked Energy Services (NES) platform
offerings with S&T’s software, system integration and project delivery
capabilities, to serve smart energy customers throughout Europe and
Under the terms of the agreement, Echelon will receive approximately $5
million in upfront consideration, dependent in part on the value of net
assets at closing. After fees, expenses, and restructuring charges are
considered the company expects the net benefit to be nominal. Echelon
will also become a supplier of its industry-leading narrowband
high-reliability power line communications chips to S&T for use in their
smart meters and related products. Echelon will receive future benefits
in the form of revenue from the purchase of these products, as well as
rental income, and potential performance-based consideration of up to $1
million. As part of the transaction approximately 60 current Echelon
employees are expected to join S&T. The acquisition is anticipated to be
accomplished via a subsidiary established by S&T.
S&T is committed to supporting the Open Smart Grid Protocol (OSGP),
which Echelon has helped spearhead, and to join other OSGP partners in
support of this standard for the control of smart grids. S&T also plans
to partner with members of the Grid Modernization VAR program, adding
the S&T product portfolio to expand the number of products and services
the program can offer.
About S&T AG
S&T AG, with headquarters in Linz, Austria, is listed on the Prime
Standard segment of the Frankfurt Stock Exchange. The company has
approximately 1,550 employees and offices in 17 countries in Central and
Eastern Europe. S&T is one of the three largest providers of IT systems
in Austria and in Eastern Europe. One of S&T’s main assets is the
exceptional breadth of its portfolio of products and services, many of
which feature proprietary technologies. With areas of focus that include
smart energy, cloud security and mobile IT, S&T supplies its portfolio
throughout Central and Eastern Europe.
About Echelon Corporation
Echelon Corporation (NASDAQ:ELON), a pioneer in developing open-standard
control networking platforms, delivers all the elements necessary to
design, install, monitor and control industrial-strength ‘communities of
devices’ within the lighting, building automation, grid, Internet of
Things, ‘maker’ and other markets worldwide. Echelon develops and sells
complete systems and subsystems for target applications, plus
system-on-chips (SoCs), embedded software, and commissioning and
management tools for OEMs. With more than 100 million Echelon-powered
devices installed worldwide, the company helps its customers easily and
safely migrate existing control systems to the most modern platforms,
while bringing new devices and applications into an ever-growing global
Industrial Internet. Echelon helps its customers reduce operational
costs, enhance satisfaction and safety, grow revenues and perform better
in both established and emerging markets. More information about Echelon
can be found at www.echelon.com.
Echelon and the Echelon logo are registered trademarks of Echelon
Corporation registered in the United States and other countries. Other
product or service names mentioned herein are the trademarks of their
This press release may contain statements relating to future plans,
events or performance. Such statements may involve risks and
uncertainties; the risk that Echelon's product and service offerings by
themselves or combined with other applications or offerings do not
perform as designed or do not offer the expected benefits and savings;
and other risks identified in Echelon's SEC filings. Actual results,
events and performance may differ materially. Readers are cautioned not
to place undue reliance on these forward-looking statements, which speak
only as of the date hereof. Echelon undertakes no obligation to release
publicly the result of any revisions to these forward-looking statements
that may be made to reflect events or circumstances after the date
hereof or to reflect the occurrence of unanticipated events.
How will your company move to the cloud while ensuring a solid security posture? Organizations from small to large are increasingly adopting cloud solutions to deliver essential business services at a much lower cost. According to cyber security experts, the frequency and severity of cyber-attacks are on the rise, causing alarm to businesses and customers across a variety of industries. To defend against exploits like these, a company must adopt a comprehensive security defense strategy that is ...
May. 28, 2016 12:00 PM EDT Reads: 516
SYS-CON Events announced today that ContentMX, the marketing technology and services company with a singular mission to increase engagement and drive more conversations for enterprise, channel and SMB technology marketers, has been named “Sponsor & Exhibitor Lounge Sponsor” of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2016, at the Javits Center in New York City, New York.
“CloudExpo is a great opportunity to start a conversation with new prospects, but what happens after the...
May. 28, 2016 11:15 AM EDT Reads: 1,197
In his session at 18th Cloud Expo, Andrew Cole, Director of Solutions Engineering at Peak 10, will discuss how the newest technology advances are reducing the cost and complexity of traditional business continuity and disaster recovery solutions.
Learn why having a full disaster recovery strategy is more important now than ever before
Explore the key drivers of a successful disaster recovery solution
Achieve measurable operational and business value from a disaster recovery ...
May. 28, 2016 11:00 AM EDT Reads: 1,406
SYS-CON Events announced today the How to Create Angular 2 Clients for the Cloud Workshop, being held June 7, 2016, in conjunction with 18th Cloud Expo | @ThingsExpo, at the Javits Center in New York, NY.
Angular 2 is a complete re-write of the popular framework AngularJS. Programming in Angular 2 is greatly simplified. Now it’s a component-based well-performing framework. The immersive one-day workshop led by Yakov Fain, a Java Champion and a co-founder of the IT consultancy Farata Systems and...
May. 28, 2016 11:00 AM EDT Reads: 4,041
Customer experience has become a competitive differentiator for companies, and it’s imperative that brands seamlessly connect the customer journey across all platforms. With the continued explosion of IoT, join us for a look at how to build a winning digital foundation in the connected era – today and in the future.
In his session at @ThingsExpo, Chris Nguyen, Group Product Marketing Manager at Adobe, will discuss how to successfully leverage mobile, rapidly deploy content, capture real-time d...
May. 28, 2016 10:45 AM EDT Reads: 1,612
SYS-CON Events announced today that Hanu Software will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY.
Leveraging best-in-class people, processes, and technologies, Hanu provides high-quality, high-value software development and business process outsourcing services to independent software vendors (ISVs) and enterprises.
May. 28, 2016 10:30 AM EDT Reads: 1,377
The cloud era has reached the stage where it is no longer a question of whether a company should migrate, but when. Enterprises have embraced the outsourcing of where their various applications are stored and who manages them, saving significant investment along the way. Plus, the cloud has become a defining competitive edge. Companies that fail to successfully adapt risk failure.
The media, of course, continues to extol the virtues of the cloud, including how easy it is to get there. Migrating...
May. 28, 2016 10:00 AM EDT Reads: 516
SYS-CON Events announced today that BMC Software has been named "Siver Sponsor" of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2015 at the Javits Center in New York, New York. BMC is a global leader in innovative software solutions that help businesses transform into digital enterprises for the ultimate competitive advantage. BMC Digital Enterprise Management is a set of innovative IT solutions designed to make digital business fast, seamless, and optimized from mainframe to mo...
May. 28, 2016 09:45 AM EDT Reads: 2,252
As organizations shift towards IT-as-a-service models, the need for managing and protecting data residing across physical, virtual, and now cloud environments grows with it. Commvault can ensure protection, access and E-Discovery of your data – whether in a private cloud, a Service Provider delivered public cloud, or a hybrid cloud environment – across the heterogeneous enterprise.
In his general session at 18th Cloud Expo, Randy De Meno, Chief Technologist - Windows Products and Microsoft Part...
May. 28, 2016 09:45 AM EDT Reads: 593
What a difference a year makes. Organizations aren’t just talking about IoT possibilities, it is now baked into their core business strategy. With IoT, billions of devices generating data from different companies on different networks around the globe need to interact. From efficiency to better customer insights to completely new business models, IoT will turn traditional business models upside down. In the new customer-centric age, the key to success is delivering critical services and apps wit...
May. 28, 2016 09:15 AM EDT Reads: 1,178
Join us at Cloud Expo | @ThingsExpo 2016 – June 7-9 at the Javits Center in New York City and November 1-3 at the Santa Clara Convention Center in Santa Clara, CA – and deliver your unique message in a way that is striking and unforgettable by taking advantage of SYS-CON's unmatched high-impact, result-driven event / media packages.
May. 28, 2016 09:00 AM EDT Reads: 2,420
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, will provide an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain.
Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life ...
May. 28, 2016 08:45 AM EDT Reads: 1,970
In the rush to compete in the digital age, a successful digital transformation is essential, but many organizations are setting themselves up for failure. There’s a common misconception that the process is just about technology, but it’s not. It’s about your business. It shouldn’t be treated as an isolated IT project; it should be driven by business needs with the committed involvement of a range of stakeholders.
May. 28, 2016 08:00 AM EDT Reads: 2,555
SYS-CON Events announced today that MobiDev will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY.
MobiDev is a software company that develops and delivers turn-key mobile apps, websites, web services, and complex software systems for startups and enterprises. Since 2009 it has grown from a small group of passionate engineers and business managers to a full-scale mobile software company with over 200 develope...
May. 28, 2016 07:15 AM EDT Reads: 2,655
SoftLayer operates a global cloud infrastructure platform built for Internet scale. With a global footprint of data centers and network points of presence, SoftLayer provides infrastructure as a service to leading-edge customers ranging from Web startups to global enterprises. SoftLayer's modular architecture, full-featured API, and sophisticated automation provide unparalleled performance and control. Its flexible unified platform seamlessly spans physical and virtual devices linked via a world...
May. 28, 2016 06:00 AM EDT Reads: 2,243