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La Cie to Purchase APS

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La Cie Ltd. has signed a deal to purchase long-time storage vendor and TidBITS sponsor APS Technologies. Last January, APS filed for Chapter 11 bankruptcy protection following Apple's decision to stop licensing the Mac OS and the dissolution of hard drive manufacturer Micropolis (see "APS Files Chapter 11, Expects to Emerge Soon" in TidBITS 415). Although APS maintains its core business is profitable, these two events left the company short on cash. According to APS Vice President Paul McGraw - who will be staying with the new company - APS will remain a distinct brand with its own sales channels, and APS will continue to support and service its customers and products as they always have. Although neither company discussed the purchase price, estimates place sales for the combined company over $100 million this year, which would make it a giant among after-market storage peripheral vendors. Pending the approval of bankruptcy court, the purchase is expected to be finalized within a month.


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