Mumbai: Tokyo-headquartered Allied Telesis Holdings K K (holding company for telecom and network businesses Allied Telesis, Allied Telesyn and affiliated companies) will acquire ROOT Inc as a wholly owned subsidiary through an exchange of shares.

This will enable the merged entity to leverage its strengths in the rapidly expanding wireless LAN and broadband infrastructure market

In July of last year, Allied Telesis Holdings K.K. and ROOT Inc. began a business alliance to strengthen their respective wireless network related businesses. In addition, by combining ROOT's high technology development capabilities in wireless with Allied Telesis Group's strengths and low-cost manufacturing know-how in wired IP network, this consolidation is expected to enable the merged entity to lead the market in the wireless network and next-generation mobile communications.

The acquisition enables Allied Telesis Group to integrate advanced technologies such as mobile IP communication development technology and advanced authentication/security systems including ROOT's wireless LAN product development technology and mobile IP. The consolidation will further accelerate future product development in the wireless network field. Engineering expertise and cost competitiveness will be enhanced together with the realisation of efficient business management such as investment for research and development.