British Startup Spinvox could be acquired by US-based Speech specialist company Nuance for around $150 million according to sources close to the deal.
The Independent and Sunday Times have both reported that investors in the company, that have poured more than $100 million altogether, are hoping that Nuance, or another company (Cisco has also been named), could be interested in the intellectual property of the company.
It was also revealed that the repayment of a £30 million loan provided to Spinvox by one of its investors which was due very soon has been postponed until January 2010 to allow the takeover process to be completed.
Nuance was the one named as being most likely to buy the troubled British company and the sum of $150 million has been put forward with a completion date likely to happen before Christmas, that's in less than 11 days.
The company - which is known for its Dragon Naturally Speaking Speech recognition software - also acquired IBM's voice related technology patents earlier this year as it builds its portfolio in the speech and text solution market.
Skype might even be interested in acquiring Spinvox as it is already making use of the company's Voice to Text services at 25 cents a pop.
Six year old Spinvox hit the buffers earlier back in July when the BBC's Rory Cellan-Jones found out that the company relied heavily on Indian call-center workers to translate voice mails into text messages.
The startup, which claimed to have a user base of more than 100 million customers, is headed by one of the very few female CEOs in the tech industry, Christine Domerq.
It has successfully signed the likes of Telefonica and Telstra in South America and Australia respectively but it might be too little, too late. You can follow our Spinvox series of articles here.
Rory Cellan-Jones from the BBC reckons that Nuance could be eyeing the much smaller Spinvox because the latter managed to build partnerships with the likes of Vodafone or Telefonica and it might also be interested in D2, Spinvox automated message conversion system.