Broadcom closes acquisition of fiber broadband company Teknovus for $123 million

Broadcom closes acquisition of Teknovus

IRVINE, Calif. — Chip maker Broadcom Corp. said Monday that it had closed its acquisition of Teknovus Inc., which makes equipment for broadband Internet service over optical fiber.

Irvine-based Broadcom paid $123 million in cash, with some of it placed into escrow, under the terms of the acquisition agreement.

The type of technology Teknovus provides accounts for 94 percent of optical connections to homes in the Asia-Pacific region, Broadcom has said. Verizon Communications Inc., the biggest provider of fiber-optic connections in the U.S., uses a different technology.

Teknovus is based in Petaluma, Calif.