American tech giant Cisco announced it's planning on buying London-based Acano.
The acquisition, expected to be completed in the third quarter of fiscal year 2016, is worth $700 million (£461m) in cash and assumed equity awards, plus additional retention based incentives for Acano employees who join Cisco.
The Acano team will join the Cisco Collaboration Technology Group led by Rowan Trollope, senior vice president and general manager.
According to Cisco's press release, the acquisition will help the company further improve one of its businesses that's seeing significant growth – video and chat collaboration.
The company said that less than 10 per cent of conference rooms worldwide are connected via video, but Cisco is spotting a trend, with the business seeing growth of 17 per cent year-on-year.
That is where Acano comes in. "As the momentum continues, there is a need to deliver solutions that will connect any system, regardless of vendor, at a scale that is dramatically higher than ever before. Acano’s technology and expertise will enable us to accelerate our development in the key areas of interoperability and scalability,” Cisco said.
“People, companies and organizations are more geographically dispersed than ever before, and collaboration is essential to helping teams increase productivity and drive growth,” said Rob Salvagno, vice president, Cisco Corporate Development. “Acano’s innovations make it easier for customers to collaborate when, where and how they want. Together, we will help our customers to extend collaboration to every room, every screen and every user.”