SGI acquires Linux Networx, Gemfire buys Covega
SGI has acquired the assets of competitor Linux Networx, a heavily funded Salt Lake City company that works in the high-performance computing field for Linux-based computers.
The acquisition is quite the turnaround for Sunnyvale-based SGI, which declared bankruptcy in late 2006 and has since been making a recovery. The company made a stock transaction for Linux Networks, which had raised $90 million from Oak Investment Partners, Lehman Brothers, Canaccord Adams and Tudor Ventures.
In a separate transaction, Gemfire earlier this week acquired Covega, a Columbia, Maryland maker of optical devices, for an undisclosed amount.
Gemfire was not a competitor to Covega, which makes equipment for telecommunications, medical and defense industries and was funded by New Enterprise Associates, Boulder Ventures, EDB Ventures and Kinetic Ventures. Gemfire is based in Fremont, Calif.
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About the Author, Chris Morrison
Chris Morrison writes about cleantech and environmental issues for VentureBeat, with occasional forays into gaming and semantic technology. He got his start writing about tech for Business 2.0 magazine, but quickly realized new media was the ticket when that institution closed its doors in 2007. Chris has also covered public equities and regulatory issues. He originally hails from southern Virginia, graduated from Evergreen State College in Washington, and now lives in San Francisco.