Headwaters MB advised InnoTrans Communications (“InnoTrans” or the "Company"), a rapidly-growing and innovative solutions provider to the cable industry, on its sale to ATX Networks (“ATX”), an H.I.G. Capital portfolio company. InnoTrans’ cable customers rely on the Company’s differentiated solutions to more efficiently deliver increased bandwidth and video content to their subscribers. ATX’s investment in InnoTrans extends its expertise and leadership in the network infrastructure systems segment.
Headquartered in San Jose, CA, InnoTrans develops and manufactures innovative optical transport solutions for cable operators. The Company’s technologically superior products transmit optical signals over longer distances, conserve more fiber, and utilize power and space more efficiently than peers, ultimately decreasing capital and operating expenses for cable operators as they continue upgrading network capacity. The scale, resources, and capabilities of ATX will support InnoTrans’ continued rapid growth in the U.S. and globally.
Mani Ramachandran, InnoTrans’ Founder and CEO commented, “We are excited to join the ATX team. Strategically, InnoTrans will benefit greatly from being part of a larger organization and we are looking to fully utilize ATX’s scale and resources to deliver increasingly differentiated solutions and value to current and new customers on a global basis.”
Mr. Ramachandran will serve as President of a newly created Optical Network Solutions Division within ATX, which will base its foundation for expansion using the current InnoTrans team in its entirety.
Camilo E. Horvilleur, Managing Director at H.I.G. Capital, said, “InnoTrans represents a transformative investment for ATX Networks, allowing the company to become a diversified network infrastructure systems provider. The partnership provides InnoTrans with the resources and backing of a larger, more global business, enabling better customer experiences and faster development of new, innovative products.”
Tyler Comann, Managing Director at Headwaters MB, commented, “The transaction will give InnoTrans the backing it needs to accelerate is technological growth. With the InnoTrans team staying in place, the ATX team will not only gain a great suite of products, but a knowledgeable team to help grow their new Optical Network Solutions division.”
Terms of the transaction were not disclosed.
About ATX Networks
ATX is a market leading global provider of network infrastructure systems and commercial video solutions. Cable operators rely on ATX’s network infrastructure systems to more efficiently deliver increased bandwidth and video content to their subscribers. ATX’s commercial video solutions enable operators to deliver customized video and data services to hotels, healthcare facilities, MDU’s, and other enterprises. Headquartered outside of Toronto, Ontario, the Company also has facilities in San Jose, CA and Stuart, FL and maintains a state-of-the-art research and development center in Petach-Tikva, Israel.
About InnoTrans Communications
InnoTrans, based in San Jose, CA designs, develops and manufactures optical transport solutions for the cable industry. InnoTrans’ technologically superior products transmit optical signals over longer distances, conserve more fiber, and utilize power and space more efficiently than peers, ultimately decreasing capital and operating expenses for cable operators as they continue upgrading network capacity. InnoTrans was founded by the technical team behind Synchronous (acquired by Motorola in 2002) with a proven 25+ year history of optical innovation leadership.
About H.I.G. Capital
H.I.G. is a leading global private equity and alternative assets investment firm with $21 billion of equity capital under management.* Based in Miami, and with offices in New York, Boston, Chicago, Dallas, Los Angeles, San Francisco, and Atlanta in the U.S., as well as international affiliate offices in London, Hamburg, Madrid, Milan, Paris, Bogotá, Rio de Janeiro and México City, H.I.G. specializes in providing both debt and equity capital to small and mid-sized companies, utilizing a flexible and operationally focused/ value-added approach. For more information, please refer to the H.I.G. website at www.higcapital.com.
* Based on total capital commitments managed by H.I.G. Capital and affiliates.