SmartDisk Closes VST Technologies Agreement
SmartDisk Corporation has closed its acquisition agreement with VST Technologies Inc. for approximately 1.5 million shares of SmartDisk stock and $16.5 million in cash. The acquisition will be accounted for under the purchase method of accounting. In addition, VST Chairman and Founder Vincent Fedele will assume the role of CTO at SmartDisk. Fedele will be responsible for product and technology strategy, and will continue to lead VST development and strategic marketing activities. Fedele previously served on VST's board of directors.
VST President and CEO James M. Giarrusso will join the company as SmartDisk's Senior Vice President and General Manager, and will be responsible for digital storage systems operations. Both individuals will be based in Acton, Mass.
"When SmartDisk acquired VST Technologies, it gained more than a portfolio of cutting-edge products," says Michael S. Battaglia, President and CEO, SmartDisk. "We gained two dynamic entrepreneurs who helped to build VST into a market leader in the flash memory reader and personal storage markets. Vince Fedele is a renowned innovator who developed the world's first commercial FireWire storage solution for Windows and Macintosh, among other achievements. Jim Giarrusso has an impressive background in corporate operations and international management. I'm confident these two individuals will help SmartDisk to fulfill its chief goal -- meeting consumer demand for devices that enable the easy storage, sharing and management of digital photos, music, video and data."
SmartDisk's products are designed to simplify the transfer and storage of digital photographs, video, music, voice and data among personal computers, the Internet and digital appliances. The company is using its proprietary and patented technologies to capitalize on the growing demand for digital applications and increased usage of the Internet. SmartDisk's investors include Toshiba, Hitachi, NEC, SanDisk, SCM Microsystems and others.
For more information, visit www.smartdisk.com.