California based Digital Power Corporation, a company that designs, manufactures and sells high-grade customized and off-the-shelf power system solutions, has recently taken over 1,136,666 shares of its largest shareholder, Telkoor Telecom Ltd. ("Telkoor"), for $0.88 per share, which represents 8.8% of the outstanding shares of Telkoor.
According to Amos Kohn, President and CEO of Digital Power Corporation, they are pleased to report this acquisition of Telkoor's shares and also this transaction will tighten their existing business relationship and strengthen the synergy between the two companies.
This new deal was initiated by Digital Power's wholly-owned subsidiary, Digital Power Limited. Company officials said that the new transaction will enable them to extend and update their existing manufacturing agreement between Digital Power and Telkoor. In addition, subject to the approval of its board of directors, Telkoor intends to consider the appointment of Amos Kohn, President and CEO of Digital Power, to its board of directors, and intends to consider a policy for the payment of dividends to shareholders.
“It also will secure Digital Power's access to technologies and products that are developed by Telkoor. This transaction is the first step in Digital Power's strategic collaboration plan as a leading provider of power solutions for our markets," Kohn added.
Digital Power Corporation specializes in the design, manufacture and supply of high-grade customized and off-the-shelf power system solutions. Its products are most suitable for demanding telecom, industrial, medical and military applications.
Furthermore the efficiency and flexibility of the platforms made possible in the products’ small package size also indicates the company’s green initiative and its desire to reduce carbon footprint.
In related news, Digital Power Corporation announced that it has been selected for the provision of high-grade, open-frame power solution for a new communications solution platform.
Jyothi Shanbhag is a contributing editor for TMCnet. To read more of Jyothi's articles, please visit her columnist page.Edited by
Rich Steeves
