About Our Ads | Privacy

Remec sells subsidiaries to focus on core products

Font Size:
Default font size
Larger font size

DEL MAR -- Remec Inc. officials announced Monday that the company has sold two subsidiaries so the company can focus on its core electronics product line.

The company makes electronic components that transmit voice, video and data over military and civilian wireless networks, making the networks more reliable and efficient.

The subsidiaries are Fixed Wireless Access Systems, sold to Axxelera Broadband Wireless Inc. of Santa Barbara, and Remec's antenna and artificial intelligence operations, which was sold to start-up Optimal RF. Remec did not disclose the purchase price.

Remec had originally bought the subsidiaries to get into the growing market for broadband wireless access, said Bob Shaner, Remec's interim chief executive, in a press release announcing the sale.

"However, over the last several years, Remec has experienced significant growth in our core businesses, integrated subsystems and RF (radio frequency) components in commercial and defense markets, and we remain committed to and focused on these businesses as in-line with our long-term strategic objectives," Shaner said.

Remec stock closed Monday at $6.12, down 13 cents for the day. The stock reached a 52-week high of nearly $13 in mid-November.

On March 24, the company reported a net loss of $34.7 million, or 56 cents per share for the quarter ended Jan. 31. In the same quarter a year ago, the company reported a net loss of $35.8 million, or 70 cents per share.

Remec employs slightly more than 5,000 people in 19 locations -- four in San Diego County; five in the rest of the United States; three in China; and one each in Mexico, Costa Rica, Canada, the United Kingdom, Finland, the Philippines and Malaysia.

A call to Remec for further comment was not returned by press time.

Contact staff writer Bradley J. Fikes at (760) 739-6641 or bfikes@nctimes.com.

Discuss Print Email

/business