Zarlink will acquire the privately held Legerity, a developer of voice ICs for carrier, enterprise and residential gateway equipment for US $134.5 million in cash. The transaction is expected to close in late July. Zarlink's portfolio of network synchronization, voice enhancement and telecom-related products will be combined with Legerity's products and technologies to create a platform for the growing deployment of next-generation networks. Legerity President and CEO Hank Perret will lead the creation of a combined network communications product portfolio. Mr. Perret will report to Zarlink President and CEO Kirk Mandy. A number of Legerity's executives will be joining Zarlink's management team. Legerity is headquartered in Austin Texas with 216 employees globally. Over the past three years Legerity has grown revenue from US$88 million in calendar year 2004 to US$113 million in calendar year 2006. For the calendar year 2006, income from operations was US$5.1 million and net income was US$4.1 million. For Fiscal 2007, Zarlink recorded net income of US$15.8 million, on revenue of US$142.6 million.