Logitech buys LifeSize Comms for $405 mln

Logitech headquarters are pictured in Morges near Lausanne in this January 6, 2009 file photo. Logitech, the world's largest computer mouse maker, is buying privately held LifeSize Communications for $405 million, bolstering its position in the video communication market.

ZURICH (Reuters) - Logitech, the world's largest computer mouse maker, is buying privately held LifeSize Communications for $405 million, bolstering its position in the video communication market.

LifeSize Communications has more than 9,000 video conferencing customers, Logitech said.

The group said in a statement late on Tuesday the deal should be neutral to slightly positive to its operating income in its 2011 fiscal year and positive thereafter.

"Together we can make life-like, HD-quality video communication as mainstream and seamless as a telephone, for meeting participants in the boardroom, at their office desk, in a remote-location meeting room, telecommuting from home or on the go with a laptop," Logitech CEO Gerald Quindlen said.

LifeSize expects to have revenue of around $90 million in 2009, which is expected to grow between 40 and 60 percent in 2010.

On Tuesday Cisco Systems Inc revealed that most shareholders in Norwegian videoconferencing equipment company Tandberg had spurned its 17.2 billion Norwegian crown ($3.1 billion) takeover offer.

(Reporting by Katie Reid; Editing by Greg Mahlich)

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