Synchronoss acquires NewBay for $55.5M
Mobile services company Synchronoss Technologies Inc. said Thursday that it bought NewBay from Research In Motion Ltd. for $55.5 million to expand its cloud-based services.
NewBay is headquartered in Ireland with U.S. offices in Seattle. Its cloud-based services allow customers to store, share and deliver content like photo albums, social networking and other data, through smartphones, tablets and other electronic devices.
The deal provides Synchrocross access to NewBay's European customers, which include Vodafone Group, Orange and Swisscom. Its U.S. customers include AT&T, T-Mobile, Verizon and US Cellular. NewBay also works with LG Electronics and Telstra in Asia.
Synchronoss expects the acquisition will be neutral to slightly accretive, on an adjusted basis, to its 2013 fiscal year results. The company said it would provide more details in February when it reports fourth-quarter and full-year financial results.
Synchronoss shares fell 10 cents to close at $20.49.
Shares of Research In Motion, which makes Blackberry smartphones and other devices, fell 7 cents to close at $11.76.