LONDON-ScanSoft Inc., which provides speech and imaging solutions, announced three acquisitions totalling $63.2 million aimed at expanding the company’s speech capabilities and resources.
The company agreed to buy Phonetic Systems Ltd., ART Advanced Recognition Technologies Inc. and Rhetorical Systems Ltd. ScanSoft said the acquisitions are aimed at helping it expand into the directory-assistance, enterprise-speech and wireless-solutions segments.
ScanSoft will pay $35 million in cash for Phonetic Systems, including $17.5 million due at closing and another $17.5 million due two years after closing.
The ART acquisition is valued at about $21.5 million, including $5 million cash due at closing and the remainder due in December 2005. The transaction is expected to close in January.
The Rhetorical transaction is valued at $6.7 million, including $4.9 million cash due at closing and $1.8 million in ScanSoft common stock. The transaction is expected to close next month.
Each acquisition has been approved by the companies’ respective boards of directors.<
