Vancouver-based Uniserve Communications Corp. (TSX-V:USS) plans to buy New Westminster's privately held Parasun Technologies Inc. for an initial payment of $10 million.
Parasun's software enables cable operators and electric utilities in the U.S. and Canada to sell high-speed data and other IP services to their customers.
Uniserve is banking on Parasun's services complementing its voice and data communication services across Canada and helping it expand Uniserve's market into the U.S.
Parasun, whose system has more than 140,000 end-users, has enjoyed annual growth in the past year of more than 30%. Its annual sales are now roughly $10 million. More than 80% of its revenue is from American firms.
The deal, which is subject to regulatory and shareholder approvals, is expected to close in mid-May.
Uniserve share price range during the past week: between $0.50 and $0.56; 52-week high $0.62; 52-week low $0.35.