SUNNYVALE, Calif.—LaNetro Zed’s future became even hazier as mobile data and billing services provider mBlox Inc. announced the acquisition of the content company’s Singapore-based technical center.
MBlox, which had hoped to acquire LaNetro Zed for $175 million earlier this year, said it will host the company’s operator connectivity business in Asia under terms of the deal. Financial details were not disclosed.
For more on mBlox’s planned purchase of LaNetro Zed, please click here.
LaNetro Zed sells content and applications directly to consumers through more than 50 operators in 15 countries, and generated $175 million last year. But the mBlox acquisition fell through last month, and LaNetro Zed has twice scrapped plans to sell its shares on Spanish stock markets. The company’s moves have left analysts to speculate that LaNetro had trouble finding demand for the stock.
While LaNetro is said to be reconsidering its asking price for an eventual public offering, mBlox’s acquisition of the Singapore operation may be indicative of a cozier relationship between the two companies. It now appears unlikely mBlox will swallow LaNetro whole, but the acquisition may foreshadow the sale of additional subsidiaries.
“This deal with LaNetro Zed marks a significant step in the geographic expansion of mBlox,” said Jeff Clark, mBlox’s chief executive officer. “I look forward to mBlox growing into Asia and offering the same quality services and market leadership as we already do in North America and Europe.”
