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IDT Corporation (NYSE:IDT), a global provider of telecommunications and
payment services, announced today that it has reached an agreement to
sell its interests in Fabrix Systems (Fabrix) to Ericsson. The sale
price for 100% of the shares in Fabrix Systems is $95 million, subject
to working-capital and other customary adjustments. IDT owns
approximately 78% of Fabrix on a fully diluted basis.
The sale is expected to close in October 2014, subject to customary
conditions. IDT acquired a majority stake in the Israel-based Fabrix in
2007, and the business has grown significantly since then.
Shmuel Jonas, IDT’s CEO, said, “This sale further sharpens our strategic
focus on our growing communications and payments businesses, and
represents another in a string of successful efforts to maximize
shareholder value by selling or spinning off non-core businesses we have
created or nurtured.”
IDT Corporation has spun off three public companies to its shareholders
over the past five years: CTM Media Holdings Inc. (OTC Pink Markets:
CTMMA, CTMMB); Genie Energy Ltd, (NYSE: GNE), and Straight Path
Communications Inc., (NYSE MKT: STRP).
Fabrix is a leading provider of cloud storage, computing and network
delivery for video applications. Fabrix has pioneered a cloud based
scale out storage and computing platform focused on providing a simple,
tightly integrated solution optimized for media storage, processing and
delivery applications such as Cloud DVR, and VOD expansion. Its
innovative approach takes advantage of the latest advances in clustered
storage; grid computing; virtualization and video processing
technologies enabling a wide range of applications.
Forward Looking Statements:
All statements above that are not purely about historical facts,
including, but not limited to, those in which we use the words
“believe,” “anticipate,” “expect,” “plan,” “intend,” “estimate, “target”
and similar expressions, are forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. While
these forward-looking statements represent our current judgment of what
may happen in the future, actual results may differ materially from the
results expressed or implied by these statements due to numerous
important factors.Our filings with the SEC provide detailed
information on such statements and risks, and should be consulted along
with this release. To the extent permitted under applicable law, IDT
assumes no obligation to update any forward-looking statements.
About IDT Corporation:
IDT
Corporation (NYSE: IDT), through its IDT Telecom division, provides
retail telecommunications and payment services to help immigrants and
the under-banked to conveniently and inexpensively communicate and share
resources around the world. IDT Telecom’s wholesale business is a
leading global carrier of international long distance voice calls. IDT
also holds majority interests in two early-stage technology companies
focused on high growth industries: Zedge (www.zedge.net),
a mobile content discovery and acquisition platform, includes one of the
most popular Apps for Android and iOS; Fabrix Systems (www.fabrixsystems.com),
a cloud based scale out storage and computing platform, provides a
scalable solution optimized for media and big data processing and
delivery. For more information, visit www.idt.net.
Investor Relations
IDT Corporation
Bill Ulrey, 973-438-3838
invest@idt.net
