Brief: Audiocodes Announces Royalty Buyout Agreement With Israel National Authority

Audiocodes

25/11/2019 17:59

Nov 25 (Reuters) - AudioCodes Ltd  AUDC.TA :
    * AUDIOCODES ANNOUNCES ROYALTY BUYOUT AGREEMENT WITH ISRAEL
NATIONAL AUTHORITY FOR TECHNOLOGY AND INNOVATION
    * AUDIOCODES LTD - AUDIOCODES' CONTINGENT NET ROYALTY
LIABILITY TO
IIA AT TIME OF AGREEMENT WAS ABOUT $49 MILLION
    * AUDIOCODES LTD - CO AGREED TO PAY ABOUT $32.2 MILLION TO
IIA (TO
SETTLE $49 MILLION DEBT IN FULL) OVER 3 YEARS STARTING 2019, IN
3 ANNUAL INSTALLMENTS
    * AUDIOCODES LTD - ELIMINATION OF FUTURE ROYALTY PAYMENTS
FOLLOWING AGREEMENT, WILL HAVE POSITIVE IMPACT ON REPORTED GROSS
MARGIN STARTING IN Q1 OF 2020

Source text for Eikon:  ID:nPn4XVkmva 
Further company coverage:  AUDC.TA 

 ((Reuters Messaging: Reuters.Briefs@thomsonreuters.com))