UTStarcom sells N.A. handset distribution business

UTStarcom Inc. will sell its personal communications division to private equity investors for at least $240 million, the company said today.
The PCD business primarily distributes handsets and accessories in North America for its parent corporation, UTStarcom. The company, based in Alameda, Calif., also recently divested its mobile solutions business.
Both moves were designed to help UTStarcom focus on its core products, including IPTV, next-generation networks and broadband, the company said.
The new entity, Personal Communications Devices L.L.C., will be led by PCD’s current management team. The purchaser is AIG Vantage Capital and other investors. PCD will continue to distribute handsets made by its parent.