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Exhibit 99.1
Clarent Corporation Acquires PEAK Software Solutions, Inc.
REDWOOD CITY, California, July 25, 2000. Clarent Coporation (Nasdaq:
CLRN), a worldwide leader in providing carrier-grade, phone-to-phone
Internet Protocol (IP) telephony solutions, today announced that it
has acquired privately-held PEAK Software Solutions, Inc. of
Littleton, Colorado. PEAK is a leading communications software
development and consulting firm specializing in building IP-based,
carrier class data and telecommunications infrastructure software.
This acquisition is intended to immediately enhance Clarent's
intelligent IP telephony and communications software development
activities by adding 56 highly experienced communications software
engineers to its R&D team. Leveraging PEAK's expertise in developing
carrier class software solutions, Clarent expects the acquisition to
enhance the company's time to market advantage for its core software
products. The PEAK employees will report to PEAK President Steve
Langion, who will join Clarent's engineering management team led by
Senior Vice President and CTO Mike Vargo.
Mike Vargo commented on the acquisition: "We are extremely pleased to
be adding the expertise and skills of the PEAK Software Solutions
team to the Clarent family. We believe that this acquisition should
enable Clarent to accelerate delivery of products that leverage our
intelligent, software-driven product architecture and enhance our
ability to grow our leadership position in the burgeoning IP
communications marketplace. These products are expected to enable our
customers and partners to build robust networks designed to deliver
the services and applications that end customers require."
"PEAK is very excited to join Clarent and to establish a Clarent
Research and Development Center in Colorado," said Steve Langion, CEO
and President, PEAK Software Solutions. "There is important synergy
between Clarent's vision, its market position and PEAK's software
development expertise. We look forward to applying our development
capabilities towards the execution of Clarent's vision and to
accelerating the introduction of Clarent products into the IP
telephony marketplace."
Under the terms of the agreement, Clarent common stock and cash with
an aggregate value of approximately $60 million have been exchanged
for all outstanding shares of PEAK. This acquisition is being
accounted for using purchase accounting and was completed on July 24,
2000. The acquisition was approved by the board of directors of each
company.
Forward Looking Language
This news release contains forward-looking statements that involve
risks and
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uncertainties that could cause actual results or outcomes to differ
materially from those contemplated by the forward-looking statements.
Factors that could cause or contribute to such differences include,
but are not limited to, risks relating to losses of key personnel or
inability to introduce new products. In addition, statements in this
press release relating to the expected benefits of the contemplated
acquisition are subject to risks relating to the timing and
successful completion of technology and product development efforts,
integration of the development activities between the companies,
unanticipated expenditures, changing relationships with customers,
suppliers and strategic partners and other factors described in the
most recent periodic reports filed by Clarent with the SEC.
About Clarent Corporation
Clarent Corporation (NADAQ: CLRN) is the world leader* in providing
intelligent, software-driven products for new generation, IP-based
communications networks. Clarent solutions enable interconnection
among communications service providers' disparate networks and foster
the creation of global footprints for more than 260 telecom service
providers worldwide, including AT&T, NTT, Concert and China Telecom.
Clarent's software platform encourages innovation by allowing
carriers to develop limitless new features for consumers and
enterprises. Founded in 1996, Clarent is headquartered in Redwood
City, Calif. and has offices in Asia, Europe, Latin America and North
America. To learn more about Clarent, visit its Web site at
www.clarent.com.
About PEAK Software Solutions
PEAK was founded in 1997 to develop telecommunications and data
communications products on a contract, project basis for service
providers and infrastructure vendors. The company is comprised of top
quality managers, engineers, architects and programmers with hundreds
of years of combined experience from companies such as AT&T Bell
Laboratories (BellLabs), Bell Communications Research (BellCore),
Bell Northern Research (BNR), SUN Microsystems, and Motorola. PEAK's
current client base consists of major data and telecommunications
infrastructure vendors and service providers. www.peakss.com
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